Reference no: EM132519450
A market for human resource is in balance in Pakistan at a point where both supply and demand curves intersect each other. If the following factors (price factors or non price factors of demand or supply) take place into the market of human resource then how it will affect equilibrium point, equilibrium price and equilibrium quantity of human resource in Pakistan.
(i) When tariff rate (import duty) decreases from 8% to 5 % on the imports of raw material.
(ii) Firms are packing up their investments because of lockdown is extended for next two months due to the spread of COVID - 19 in Pakistan.
(iii) Govt. of Pakistan is proactive to improve the skills of human resource in Pakistan.
(iv) Unfortunately, pandemic COVID - 19 is spreading among working age population in Pakistan.
(v) When international labor laws are tightened due to pandemic COVID - 19 and overseas Pakistanis are returning to Pakistan.
(vi) During the election year; Govt. of Pakistan has decided to amend the minimum wage policy in Pakistan:
a) from Rs 17000 to Rs 20000
b) from Rs 17000 to Rs 16000
Use graphical representation for each case separately. Also label and interpret each diagram