Question

newco m education.com Connect Ch 6 questions Help 22 Refer to the figures below and assume that price is fixed at $37.000 and that Buzzer Auto needs 5 workers for every 1 automobile produced 013 points Automobile Market Flexible Prices Automobile Market Fixed Prices $40,000 37,000 35,000 Cars per week Cars per week < Prey 22 of 23 Next > "pe here to search

Answer 1

(a) 900 cars, 4500 workers

(b) 700 cars, 3500 workers

Demand and Demand = Om for output must be Output = sales, equal to = Sales the the output therefore, Buzzer will produce 900 cars Now, worker will be equal to = qoox S = 45co workers because to produce anc automobile s workers are requred I (bl if de mand but the $ 37000 produce shifts from Dm to Dog price is still fixed at now Buzzer will 700 cars. Now, to match production, the will be a this sale workers and required = 700 X 5 - 3500 workers

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