The above figure shows the market for biologists. The government decides to set a minimum wage for biologists of $18 per hour. After this minimum wage is in effect, the deadweight loss equals ________
A) $400
B) $200
C) $800
D) $1600
E) $100
B
Economics
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What does it mean when a "free lunch" is available? Relate your answer to the production possibilities frontier
What will be an ideal response?
Economics
In the short run, a competitive firm has a marginal product of labor, MPL = 5L-0.5. The output price is $10 per unit and the wage is $7 per hour. The short-run labor demand curve for the firm is
A) 5L-0.5. B) 15L-0.5. C) 35L-0.5. D) 50L-0.5.
Economics