Question 19M.3.HL.TZ0.d
| Date | May 2019 | Marks available | [Maximum mark: 2] | Reference code | 19M.3.HL.TZ0.d |
| Level | HL | Paper | 3 | Time zone | TZ0 |
| Command term | Calculate | Question number | d | Adapted from | N/A |
Table 1 provides information about Fairland.
Table 1
Figure 6 illustrates Fairland’s demand (D) for and supply (S) of low-wage labour.
Figure 6
In order to raise the living standards of low-wage workers, the government of Fairland has decided to impose a minimum wage of $10 per hour.
Calculate the resulting unemployment among the low-wage workers.
[2]
Unemployment = number of workers willing to supply their labour − number of workers demanded by firms = 40 million − 14 million
Any valid working is sufficient for [1].
= 26 million
An answer of 26 million or 26 without working is sufficient for [1].
A significant number of candidates were able to draw the curve representing the minimum wage but then calculated the resulting unemployment incorrectly. A common error was to provide an answer of 40 − 12 = 28, a consequence of misreading the graph.
