Suppose the Minimum Wage Is $4 Per Hour,and 1,100 Units

question 97

Multiple Choice

Suppose the minimum wage is $4 per hour,and 1,100 units of labour are hired.Then the government raises the minimum wage to $6 per hour,and 900 units are now hired.Choose the correct statement.

• A)Total wages paid to workers has fallen.
• B)The price elasticity of demand for labour is 0.5.
• C)There is unemployment in this labour market.
• D)The quantity of labour supplied is greater at the higher minimum wage.
• E)all of the above except A

Understand the relationship between output, unemployment, and the business cycle.

Grasp the reasons behind the shapes of the aggregate demand and aggregate supply curves.

Recognize the role of expectations in economics, especially regarding price levels.

Understand the impact of changes in the price level on consumption, investment, and net exports.

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Landmark U.S. legislation that outlawed discrimination based on race, color, religion, sex, or national origin.

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Unjust or prejudicial treatment of individuals, especially on the grounds of race, age, sex, or disability.

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