Use the figure below to answer the following questions.

Figure 19.3.1
-Refer to Figure 19.3.1. For any given quantity of labour employed,

Question

Use the figure below to answer the following questions.
  
Figure 19.3.1
-Refer to Figure 19.3.1. For any given quantity of labour employed,

Quizplus · Accepted Answer

According to the figure, the demand for high-skilled labour is less elastic than the demand for low-skilled labour, indicating that the demand for high-skilled labour is more inelastic. This implies that high-skilled labourers will receive a greater wage than low-skilled labourers, as the demand for their skills is less sensitive to changes in wage rates. The vertical distance between the two demand curves represents the difference in wages between high-skilled and low-skilled workers, which is determined by the relative demand for their skills. Therefore, the correct answer is C.

Use the Figure Below to Answer the Following Questions