The Following Table Shows the Demand and Supply of Labor

Essay

The following table shows the demand and supply of labor in the steel manufacturing industry.
a) What is the equilibrium wage rate and employment level in the industry? Illustrate graphically.
b) If the labor demand shifts to the right, without any change in the labor supply curve, what is likely to happen to the equilibrium wage and the employment level? Explain your answer with the help of a suitable diagram.
c) If the labor supply curve shifts to the left, without any change in the labor demand curve, what is likely to happen to the equilibrium wage and employment level? Explain your answer with the help of a suitable diagram.