If a Minimum Wage Is Set Above the Free- Market

question 71

Multiple Choice

If a minimum wage is set above the free- market equilibrium wage in a competitive labour market,the labour market will experience an increase in wages and

• A)there will be no unemployment.
• B)employment will decrease.
• C)there is an unpredictable effect on employment.
• D)employment will increase.
• E)employment will remain the same.

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Definitions:

Perform Behaviors

Refers to the action of carrying out or executing specific actions or activities, often influenced by various psychological factors.

Rational Emotive Behavior Therapy

A comprehensive, active-directive, philosophically and empirically based psychotherapy which focuses on resolving emotional and behavioral problems and disturbances to enable individuals to lead happier and more fulfilling lives.

Unnecessary Emotional Problems

Difficulties or disturbances in emotional functioning that could be avoided or are created without significant cause.