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[Steps Shown] Worker mobility. The following table summarizes the market for labor in an occupation. "Demand" is the number (in thousands) of employees forms

Question: Worker mobility. The following table summarizes the market for labor in an occupation. "Demand" is the number (in thousands) of employees forms would be interested in hiring at particular wages. "Domestic supply" is the number (in thousands) of native workers who are interested in working in the occupation at particular wages, and "immigrant supply" is the number (in thousands) of immigrants who are interested in working at particular wages.

Wage Demand Domestic Supply Immigrant Supply
3 30 22 4
4 29 23 4
5 28 24 4
6 27 25 4
7 26 26 4
8 25 27 4
9 24 28 4
10 23 29 4
  1. What is the equilibrium wage rate before immigration? How many workers would be hired?
  2. What is the equilibrium wage rate after immigration? How many workers would be hired? How many domestic workers would be hired? How many immigrant workers would be hired?
  3. Comparing your answers in parts b and c, has immigration caused a change in the number of domestic workers hired? What was the change, if any? Why did the change, if any, occur?
  4. Are immigrants and domestic workers gross complements of gross substitutes in this example?

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