The Empirical Evidence on the Minimum Wage

question 190

Multiple Choice

The empirical evidence on the minimum wage

• A)is mixed; some studies show employment increasing, but most do not
• B)shows that employment always falls when the minimum wage is increased
• C)shows that employment always rises when the minimum wage is reduced
• D)suggests that most labor markets are not competitive markets
• E)indicates that wages are highest in industries that are subject to the minimum wage

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Definitions:

Drawer

The party that writes or creates a bill of exchange, such as a check, directing a drawee to pay a specified sum to a payee.

Drawee

The party, typically a bank, upon whom a check or draft is drawn and is expected to pay the stated amount.

Drawer

The party that writes and signs a negotiable instrument, such as a check, instructing a drawee (often a bank) to pay a specified sum to a payee.

Draft

A preliminary version of a document, plan, or proposal that is subject to revision and refinement.