Quelpr
5 marksThe Demand for and Supply of Factors

CAPE Economics Unit 1 · 2016 · Paper 2 · Question 5(a)(i)

A labour market diagram showing changes in equilibrium wage and employment

Draw a labour market diagram, and show on your diagram how a surge of migrants into the country will affect the equilibrium wage and level of employment.

The mark scheme is shown once you've answered.

Practise this question

Other parts of this question

  1. 5(a)(ii)Draw a labour market diagram, and show on your diagram how an increase in world demand for tourism will affect the equilibrium wage and level of employment.[5 marks]
  2. 5(b)(i)Copy and complete the table to show the marginal product and the value of the marginal product.[6 marks]
  3. 5(b)(ii)Sketch the firm's labour demand curve.[3 marks]
  4. 5(c)(i)Determine the number of workers who will be hired if the government sets a minimum wage of $1000 per day.[3 marks]
  5. 5(c)(ii)Justify the manager's employment of FIVE workers per day in the manufacture of belts.[3 marks]

More practice: the rest of this paper · more The Demand for and Supply of Factors questions · all CAPE Economics Unit 1 past papers