A monopsonistic employer has the production function Q = L, where L is the amount of labor employed, and Q is the quantity of output produced. The firm can sell each unit of output at the constant price P = 4. The labor supply curve facing the firm is L = w.

(a) What employment level does the monopsonist select to maximize its profits?

(b) If the government imposes a minimum wage of 3, would the employment level be higher or lower than in part (a)? Explain verbally or mathematically.