Supporters of Raising the Minimum Wage Argue That Minimum-Wage Laws

question 28

Multiple Choice

Supporters of raising the minimum wage argue that minimum-wage laws are

• A)a tax-free way to help the working poor.Businesses bear the burden of paying higher wages, not the government.
• B)better than the Earned Income Tax Credit (EITC) in targeting the working poor.The EITC may benefit teenagers from middle-class families who work summer jobs at the minimum wage.
• C)better than in-kind transfers such as food stamps in providing food rather than unhealthy items such as drugs or alcohol.
• D)a way to increase employment of those likely to earn the minimum wage.

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Definitions:

Annual Year-end Payments

Payments made at the end of a fiscal year, often related to taxes, dividends, or bonuses.

Interest Rate

The percentage of a sum of money charged for its use, often expressed annually.

Annual Rate

A percentage representing the interest, return, or changes expected over a one-year period for investments, loans, or growth calculations.

Interest Rate

The percentage of a sum of money charged for its use, typically expressed as an annual percentage.