Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any...

Extracted text: Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool 18 I Wage Rate (Dollars per hour) Supply 15 Quantity Supplied (Thousands of workers) Quantity 15 15 Demanded (Thousands of workers) 12 Excess Supply (Thousands of workers) Shortage (Thousands of workers) Demand Demand Shifter 3 Pro-union Advertising (Millions of dollars) 0 5 10 15 20 25 30 QUANTITY OF LABOR (Thousands of workers) The union's wage increase from $9 to $12 per hour causes an excess supply of workers. (Note: Be sure to enter your answer in thousands of workers.) Suppose that the union, in order to mitigate the unemployment caused by the wage increase, bolsters demand by rolling out a "Buy Union" advertising campaign. If the union spends $3 million on the campaign, the excess supply of labor will be workers. (Note: Be sure to enter your answer in thousands of workers.) WAGE RATE (Dollars per hour) co


Extracted text: 4. Inclusive, or industrial, unions - Negotiating a higher industry wage Consider the housing construction industry. Assume that the industry is perfectly competitive in both input and output markets. Suppose that, through collective bargaining, a labor union negotiates an industry-wide wage for various kinds of labor (electricians, plumbers, and so on). In particular, it succeeds in negotiating a wage increase for carpenters from $9 to $12 per hour. The following graph shows the labor demand of an individual firm. On the following graph, show what happens at the firm level as a result of the union negotiations. 18 15 Demand 12 Supply Supply Demand 3 10 15 20 25 30 QUANTITY OF LABOR ---- --- Co WAGE RATE