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United StatesMicroeconomicsQuick questions

Unit 5: Factor Markets

Quick questions on Changes in Factor Demand and Factor Supply - AP Microeconomics Topic 5.2

2short Q&A pairs drawn directly from our worked dot-point answer. For full context and worked exam questions, read the parent dot-point page.

What is q1?
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The demand for a product rises. State the effect on the demand for the labor that makes it and why. [2 points]
What is q2?
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Labor supply decreases while labor demand is unchanged. State the effect on the equilibrium wage and employment. [2 points]

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