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Work It Out. Consider an economy with the following Cobb-Douglas production function: Y= 5K/3L2/3 where L the wag the sect ar

for c. Now suppose that Congress, concerned about the welfare of the working class, passes a law setting a minimum wage that

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Ansi Given equation : Y = Skl 1/3 a low we can find MP (= dyldi . MRC = 5(2/3 + 1/3 MPL = LO (LE) At cauilibrium, MPL= w u l( ر : نه د 20 3 : کمی ) = دارد : التوا :ده 09:10) (Real wise). slow, we can find ای درک : لا الوها در27 , 000 کلا :y الهه (هد. Employment fall from 2000 to Asi, output fall form (Souo to 12393.33 and Total amount earned by worked fall from 1000 to 82

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