Suppose the market for landscape workers in Kitchener, Ontario, can be described by the following labour demand and supply equations: LD = 340 - 10w and LS = 100 + 20w.
a) Calculate the equilibrium wage and employment in this market.
b) Suppose the local government passes a bill requiring all employers in this industry to provide bottled water to each worker to protect them from hot weather. This has been estimated to cost employers $1 per worker per hour. This way, workers do not need to purchase water by themselves, so that the bill effectively increases the wage by $1 per hour. What are the new labour demand and supply equations?
c) Calculate the new equilibrium wage and employment. Draw a graph to show the change.

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The Answer of Suppose the market for landscape workers in Kitchener, Ontario, can be described by the following labour demand and supply equations: LD = 340 - 10w and LS = 100 + 20w.
a) Calculate the equilibrium wage and employment in this market.
b) Suppose the local government passes a bill requiring all employers in this industry to provide bottled water to each worker to protect them from hot weather. This has been estimated to cost employers $1 per worker per hour. This way, workers do not need to purchase water by themselves, so that the bill effectively increases the wage by $1 per hour. What are the new labour demand and supply equations?
c) Calculate the new equilibrium wage and employment. Draw a graph to show the change.

Suppose the Market for Landscape Workers in Kitchener, Ontario, Can