What is the equilibrium wage


Suppose that, the demand for labor in the manufacturing good sector is equal to 200 - Lm and that the demand for labor in the agriculture sector is equal to 160 - La. There are 200 workers in economy.

a) What is the equilibrium wage?

b) What is the loss in national income if the manufacturing wage is set at $100, but there is full employment?

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Macroeconomics: What is the equilibrium wage
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