Suppose you have estimated the supply curve for the local labor market as Q_s = W - 5, where W is the hourly wage and Q_s is the quantity of workers willing to work at each wage. You have estimated the demand curve for the local labor market as Q_d, = 25 - W, where W is the hourly wage and Q_d is the quantity of workers demanded by employers at each wage.
a. Solve for the equilibrium wage and quantity of labor.
b. If the government imposes a minimum wage of $18, what are the size of the labor force, the number of unemployed workers, and the unemployment rate?

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The Answer of Suppose you have estimated the supply curve for the local labor market as Q_s = W - 5, where W is the hourly wage and Q_s is the quantity of workers willing to work at each wage. You have estimated the demand curve for the local labor market as Q_d, = 25 - W, where W is the hourly wage and Q_d is the quantity of workers demanded by employers at each wage. a. Solve for the equilibrium wage and quantity of labor. b. If the government imposes a minimum wage of $18, what are the size of the labor force, the number of unemployed workers, and the unemployment rate?

Suppose You Have Estimated the Supply Curve for the Local