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"There will be a decrease in the level of employment in New Zealand, as shown on the graph, in the decrease AD-AD 1. This shows the decrease in real GDP/employment from Y-Y 1, as business output decreases to match the new, lower demand for labour. Because demand for labour is derived from demand for goods and services, this means that unemployment increases; this is measured by the decrease in the deflationary gap, shown in the change from DG to DG 1. This type if unemployment is called demand deficient employment. The increase in minimum wage will increase household income, like what is said in the resource material, but it will also decrease New Zealand’s real GDP."
From year 12 Eco?
⣿⣿⣿⣿⠿⠿⠛⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠉⠻⣿⣿
⣿⣿⡏⠁⠀⠀⠀⠀⠀⣀⣠⣤⣤⣶⣶⣶⣶⣶⣦⣤⡄⠀⠀⠀⠀⢀⣴⣿
⣿⣿⣷⣄⠀⠀⠀⢠⣾⣿⣿⣿⣿⣿⣿⣿⣿⣿⣿⢿⡧⠇⢀⣤⣶⣿⣿
⣿⣿⣿⣿⣿⣿⣾⣮⣭⣿⡻⣽⣒⠀⣤⣜⣭⠐⢐⣒⠢⢰⢸⣿⣿⣿⣿
⣿⣿⣿⣿⣿⣿⣿⣏⣿⣿⣿⣿⣿⣿⡟⣾⣿⠂⢈⢿⣷⣞⣸⣿⣿⣿⣿
⣿⣿⣿⣿⣿⣿⣿⣿⣽⣿⣿⣷⣶⣾⡿⠿⣿⠗⠈⢻⣿⣿⣿⣿⣿⣿⣿
⣿⣿⣿⣿⣿⣿⣿⣿⣿⣿⣿⣿⡿⠻⠋⠉⠑⠀⠀⢘⢻⣿⣿⣿⣿⣿⣿
⣿⣿⣿⣿⣿⣿⣿⡿⠟⢹⣿⣿⡇⢀⣶⣶⠴⠶⠀⠀⢽⣿⣿⣿⣿⣿⣿
⣿⣿⣿⣿⣿⣿⡿⠀⠀⢸⣿⣿⠀⠀⠣⠀⠀⠀⠀⠀⡟⢿⣿⣿⣿⣿⣿⣿
⣿⣿⣿⡿⠟⠋⠀⠀⠀⠀⠹⣿⣧⣀⠀⠀⠀⠀⡀⣴⠁⢘⡙⢿⣿⣿⣿⣿