Friday 4 October 2013

supply and demand graph

After reading the article:
1.) draw a supply and demand graph showing the current minimum wage and also show the proposed minimum wage (clearly label the axes, the minimum wage lines, the different wage amounts on the price axis, the number of workers on the Quantity axis, the demand curve, the supply curve, and any other important features).
• is this a price floor, a price ceiling, or a quota control?
2.) Using estimates from Google to determine the current number of workers earning minimum wage
• using the graph, will there be a surplus or shortage or workers? Why?
• what does the result mean for the current work force?
3.) List 3 Advantages that might be achieved by raising the minimum wage to $10
• 1.
• 2.
• 3.
4.) List 3 Disadvantages that might be the result of raising the minimum wage to $10
• 1.
• 2.
• 3.
5.) Using what you have learned about Price Controls, comment on the content of each of the following politicians quoted in the article:
• Jerry Brown
• Luis Alejo
• Brian Jones
• Connie Conway
6.) If you were able to cast a “Yea” or “Nay” vote on this issue, what would you do? WHY (do your advantages outweigh your disadvantages, or vice versa, or use any other supporting evidence)?
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