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Assignment - Find the Equilibrium Wage and Statisticians Employed Micro Economics Questions
Consider the market for statisticians. The demand and supply for the statistician is given by P = 200 - Q/10 and P = 20 + Q/20, where P is hourly wage and Q is statisticians employed.
1. Find the equilibrium wage (price) and statisticians employed (quantity). Suppose the Society of Highly Trained Statisticians (SH*TS) persuades the government that statisticians must be licensed. The SH*TS lets the government oversees the limited 600 licenses available.
2. What is the wage that statisticians receive? How many are employed?
3. What is the deadweight loss caused by this policy?
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