QUESTION $17$

The question below asks how an event affects the market for fast food in the city of Louisville. Assume that the quantity of fast food is measured as the weekly number of units sold. Assume government passes a law that grants amnesty to illegal immigrants and that this leads to all restaurants paying higher wages to their many of their janitorial and kitchen employees.

$1$

a$.$ increase in demand

b$.$ decrease in demand

c$.$ increase in supply

d$.$ decrease in supply

e$.$ increase in demand and supply