Suppose That the Demand for Labour Is Given by P

question 29

Multiple Choice

Suppose that the demand for labour is given by P = 30 - Q and the supply of labour is given by P =
2Q. Which of the following is true if a minimum wage of 24 is imposed on the labour market?

• A)the number of people laid off will be 4
• B)the number of people laid off will be 12
• C)the number of people laid off will be 6
• D)the number of people laid off will be 2

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