A. In 1975: w90/w50 = 10.44/6.02 = 1.73,
w50/w10 = 1.41,
w90/w10 = 2.45.
In 1995: w90/w50 = 9.07/3.89 = 2.33,
w50/w10 = 1.31,
w90/w10 = 3.05.
B. The wage inequality increased in this local market.
C. Increased immigrants into this labour market will increase supply of labour, so relative wage will decrease and employment will increase.
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