Consider the accompanying figure representing the labor market below. Suppose the government passes a minimum wage requiring employers to pay at least $8.00 per hour. After the imposition of the minimum wage, employment will equal ________ person-hours per day.

Question

Consider the accompanying figure representing the labor market below. Suppose the government passes a minimum wage requiring employers to pay at least $8.00 per hour.  After the imposition of the minimum wage, employment will equal ________ person-hours per day.

Quizplus · Accepted Answer

At a wage of $8.00 per hour, the quantity of labor demanded will be 2,000 person-hours per day.

Consider the Accompanying Figure Representing the Labor Market Below