Final answer:
The increased number of college students graduating with BA degrees in economics would likely result in a decrease in wages for economics graduates. However, it would not necessarily have a direct impact on the wages of non-economics graduates.
Step-by-step explanation:
The increased number of college students graduating with BA degrees in economics would likely result in a decrease in wages for economics graduates. This is because the increased supply of economics graduates would outweigh the demand for their skills in the job market, leading to lower wages.
Let's consider the demand and supply model. The increase in the supply of economics graduates can be represented by a shift in the supply curve to the right (from So to S₁), while the demand for economics graduates remains relatively constant. As a result, the equilibrium wage for economics graduates would decrease.
However, it's important to note that this trend would not necessarily have a direct impact on the wages of non-economics graduates. The wages of non-economics graduates may be influenced by other factors such as the overall demand for their skills and qualifications in the job market.