select the correct answer. how many people lost their jobs when the minimum wage increase? wages $18 minimum…

select the correct answer. how many people lost their jobs when the minimum wage increase? wages $18 minimum wage equilibrium wage $12 labor supply labor demand 18 33 45 number of workers a. 15 b. 18 c. 33 d. 45

select the correct answer. how many people lost their jobs when the minimum wage increase? wages $18 minimum wage equilibrium wage $12 labor supply labor demand 18 33 45 number of workers a. 15 b. 18 c. 33 d. 45

Answer

Explanation:

Step1: Identify equilibrium - employment

At the equilibrium wage of $12, the number of workers employed is 33 (where labor - demand and labor - supply intersect).

Step2: Identify employment at minimum wage

At the minimum wage of $18, the number of workers demanded is 18 (where the minimum - wage line intersects the labor - demand curve).

Step3: Calculate job losses

The number of people who lost their jobs is the difference between the number of workers at equilibrium and the number of workers at the minimum wage. So, $33 - 18=15$.

Answer:

A. 15