Joe Sabia, an Assistant Professor of Public Policy at American

question 74

Multiple Choice

Joe Sabia, an assistant professor of public policy at American University in Washington, DC, says that a 10 percent increase in the minimum wage reduces retail employment by 1 percent and reduces employment among young workers by 3.4 percent.If President Obama is successful increasing the minimum wage by 30 percent as explained in "Obama Wants $9.50 Minimum Wage," we can expect

• A) Employment to decrease by about 30 percent and prices to increase.
• B) Unemployment to increase by about 30 percent and prices to decrease.
• C) Retail employment to decrease by about 3 percent and young workers'employment to decrease by about
• 10)2 percent.
• D) Prices to increase and unemployment to increase by about 3 percent.

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Definitions:

Reconstruction

The period (1865–1877) following the American Civil War, during which attempts were made to address the inequalities of slavery and integrate freed slaves into society and politics.

Federalism

A system of government in which power is divided between the central government and the states.

Civil Rights Bill 1866

A landmark piece of legislation in the United States that established all persons born in the U.S., regardless of race, color, or previous condition, are hereby declared to be citizens.

Reconstruction Amendments

The 13th, 14th, and 15th amendments to the United States Constitution, adopted between 1865 and 1870, aimed at abolishing slavery, granting citizenship and equal protection under the laws, and securing voting rights irrespective of race, color, or previous condition of servitude.