The following table shows the demand and supply of labor in an industry.The equilibrium employment in this market is ________ hours per week and those workers are paid ________ per hour.

Question

Quizplus · Accepted Answer

The equilibrium employment is found where the demand and supply curves intersect. This occurs at approximately 22 hours per week and a wage rate of $11 per hour. Option A is incorrect as it assumes a lower wage rate for equilibrium. Option B is incorrect as it assumes a higher employment level for equilibrium. Option C is incorrect as it assumes a lower wage rate but a higher employment level for equilibrium. Therefore, option D is the correct answer.

The Following Table Shows the Demand and Supply of Labor