How much would a child worker earn per hour?

The diagram drawn above shows the market for unskilled labor in which child workers may get hired Show more The diagram drawn above shows the market for unskilled labor in which child workers may get hired depending upon the circumstances. Currently there are 10 million adult workers who are available for employment at the equilibrium wage rate of $2.00 per hour and no child worker is in the labor force in this market. (i) If the employers offer a wage rate of $1.50 and no child worker is allowed to work how large will be the shortage of unskilled labor? (ii) Assume that it is legal to employ a child worker and that the productivity of a child worker is of the productivity of an adult worker. Then how many child workers would be working at this lower wage rate of $1.50? How much would a child worker earn per hour? Show less

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