Suppose that the graph depicts the labor market for personal care aides in Morgantown, West Virginia. If the government enacts a minimum wage of $11, how many personal care aides will be employed?

A)5,000
B)3,000
C)2,000
D)4,000

Question

Suppose that the graph depicts the labor market for personal care aides in Morgantown, West Virginia. If the government enacts a minimum wage of $11, how many personal care aides will be employed?

A)5,000 
B)3,000 
C)2,000 
D)4,000

Quizplus · Accepted Answer

At a minimum wage of $11, the equilibrium point on the graph would be at the intersection of the demand curve and the new supply curve, which lies at about 2,000 personal care aides. This is shown by the point where the quantity demanded equals the quantity supplied at a wage of $11. Therefore, the answer is C.

Suppose That the Graph Depicts the Labor Market for Personal