Figure 9-1 This Figure Shows the Effect of a Minimum-Wage Law

question 157

Multiple Choice

Figure 9-1
This figure shows the effect of a minimum-wage law.
-Refer to Figure 9-1. If there was no minimum wage and then the government instituted a minimum wage of $6, what would happen to employment in this market?

• A) Employment would rise by 10.
• B) Employment would fall by 20.
• C) Unemployment would increase by 10.
• D) Unemployment would increase by 20.

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Definitions:

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