Figure 9-2 -Refer to Figure 9-2. If the Minimum Wage Fell from Wage

question 39

Multiple Choice

Figure 9-2
-Refer to Figure 9-2. If the minimum wage fell from $7 to $5, what would happen to unemployment?

• A) It would fall by 20.
• B) It would fall by 40.
• C) It would be unchanged.
• D) It would rise by 20.

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Definitions:

Substitute Products

Products that can be used in place of others to satisfy the same needs or desires, often influencing consumer choices and market competition.

Rivalry Among Firms

A situation where companies compete against each other in the same industry for market share, profits, and customer loyalty.

Brick-and-mortar Stores

Physical retail locations where customers can visit to view and purchase goods in person.

Two Competitors

Entities, especially businesses, engaged in a rivalry in the same industry or sector, striving to achieve goals such as higher sales, market share, or innovation.