-The market for unskilled labour is illustrated in the figure above. The market is in equilibrium and then a minimum wage of $5 per hour is imposed. Employment will fall by

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The minimum wage of $5 per hour is above the equilibrium wage of $4 per hour. As a result, the quantity of labor demanded will fall from 40 million hours per year to 20 million hours per year.

-The Market for Unskilled Labour Is Illustrated in the Figure