Studies indicate that the price elasticity of demand for cigarettes is about -0.4. If a pack of cigarettes currently costs $2, and the government wants to reduce smoking by 20 percent, by how much should it increase the price?

Consider the labor market for heath care workers. because of the aging population in the united states, the output price for health care services has increased. holding all else equal, what effect does this have on the labor market for health care employees? a. the equilibrium wage increases and the equilibrium quantity of labor increases.b. the equilibrium wage increases and the equilibrium quantity of labor decreases.c. the equilibrium wage decreases and the equilibrium quantity of labor increases.d. the equilibrium wage decreases and the equilibrium quantity of labor decreases.