The demand for labour for janitors and administrative assistants in elementary schools in Regina is the same at LD= 20 -W. However, the supply of labour for janitors in elementary schools is Ls= -1.25 + 0.5W while for administrative assistants the supply of labour is LD= -0.5 + 0.6W.
a ) What are the wage rates for janitors and administrative assistants in elementary schools in Regina?
b) Given the answer in a), is there a 'compensating wage differential' between janitors and administrative assistants in Regina?