#1. For each of the following determine the impact on thedemand or the supply of labor and the effect on the equilibrium wage andquantity of labor employed. a. An increase in the price ofcapital. b. A union is formed which uses collective bargaining to obtain higher wagesfor its members. c. The marginal productivity of workers rises. d. People desire leisure more than ever before (e.g. it is Christmas Day). e. The wages offered in other labor markets requiring similar skills are nowoffering substantially higher wages. f. The fringe (non-monetary) benefits offered in this market have increasedsubstantially. g. The government has just adopted an ‘open-door’ immigration policy?