The Three Diagrams Below Show the Supply and Demand for Teenage

question 29

Multiple Choice

The three diagrams below show the supply and demand for teenage babysitters in one local area. The initial supply curve is S 0 in all cases.

-Refer to Figure 14-3. Suppose all of the teenage babysitters in one local area form an association and set a minimum age of 16 for working as a babysitter. Which diagram illustrates the new supply curve S A) for babysitters?

• A) diagram 1
• B) diagram 2
• C) diagram 3
• D) none of the diagrams
• E) any of the diagrams

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