Econ201-work

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Q1-With suitable examples differentiate between, moving along the demand curve and shift in demand curve. Discuss at least four demand shifters and explain the directions in which the demand curve will shift, if these shifters are increased/decreased.

Q2:

What is price ceiling and price floor? Consider a labor market where price floor is above the equilibrium wage. Analyze the following. (Graphical representation is not essential

Impact on labor market

Who are helped by the minimum wage and who are hurt by the minimum wage?

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