2 . Minimum wage legislation The following graph shows the labor market in the fast-food industry in the fictional town of Supersize City. Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool (? ) 20 Market for Labor in the Fast Food Industry Wage 8 ( Dollars per hour) Supply Labor Demanded 480 Labor Supplied 200 (Thousands of Thousands of workers) workers) WAGE (Dollars per hour) Demand N 80 160 240 320 400 480 560 640 720 800 LABOR (Thousands of workers) In this market, the equilibrium hourly wage is |$ and the equilibrium quantity of labor is thousand workers. Suppose a senator introduces a bill to legislate a minimum hourly wage of $8. This type of price control is called aFor each of the wages listed in the following table, determine the quantity of labor demanded, the quantity of labor supplied, and the direction of pressure exerted on wages in the absence of any price controls. Wage Labor Demanded Labor Supplied (Dollars per hour) (Thousands of workers) (Thousands of workers) Pressure on Wages 14 6 True or False: A minimum wage below $10 per hour is a binding minimum wage in this market. O True O False