Refer to Scenario 1

question 184

Multiple Choice

Refer to Scenario 1.1 below to answer the question(s) that follow.
SCENARIO 1.1: An economist wants to understand the relationship between minimum wages and the level of teenage unemployment. The economist collects data on the values of the minimum wage and the levels of teenage unemployment over time. The economist concludes that a 1% increase in minimum wage causes a 0.2% increase in teenage unemployment. From this information he concludes that the minimum wage is harmful to teenagers and should be reduced or eliminated to increase employment among teenagers.
-Refer to Scenario 1.1. The statement that a 1% increase in the minimum wage causes a 0.2% increase in teenage unemployment is an example of

• A) equity.
• B) normative economics.
• C) positive economics.
• D) Ockham's razor.

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Definitions:

Environmental Sociology

The study of the interaction between human society and the physical environment.

Anthropocentrism

The view that human beings are separate from, and above, the rest of nature.

Tar Sands

Naturally occurring mixtures of sand, clay, water, and a dense form of petroleum known as bitumen, considered significant sources of crude oil but with heavy environmental impacts.

Fresh Water

Water that is not salty and has little or no taste, color, or smell, typically found in rivers, lakes, and in underground reservoirs.