Suppose there is a competitive market for retail workers at a large shopping mall that is large enough to constitute its own labour market.The labour demand curve is QD = 1000 - 20(w) .The labour supply curve is QS = 400 + 40(w) .Suppose that a union now successfully organizes the workers at this mall and obtains a wage rate of $11 (but does not affect the demand curve) .The number of workers employed after unionization is
A) 400.
B) 780.
C) 880.
D) 1000.
E) Not determinable from the information provided.
Correct Answer:
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