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Labor demand increases and supply decreases

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Reference no: EM131762971

In a labor market, which of the following will occur if labor demand increases and supply decreases?

Select one:

a. An ambiguous change in equilibrium wages and equilibrium quantity of labor.

b. A decrease in equilibrium wages and an increase in the equilibrium quantity of labor.

c. An ambiguous change in equilibrium wages and an increase in the equilibrium quantity of labor.

d. An increase in equilibrium wages and ambiguous change in the equilibrium quantity of labor.

Reference no: EM131762971

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