If the Government Reduced the Minimum Wage and Pursued Contractionary

question 119

Multiple Choice

If the government reduced the minimum wage and pursued contractionary monetary policy, then in the long run

• A)both the unemployment rate and the inflation rate would be lower.
• B)the unemployment rate would be lower and the inflation rate would be higher.
• C)the unemployment rate would be higher and the inflation rate would be lower.
• D)the unemployment rate and the inflation rate would be higher.

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Definitions:

Incentive Program

A structured plan to motivate individuals or groups by offering rewards or benefits for achieving specific goals or performance benchmarks.

Service Quality

A measure of how well the service level delivered matches customer expectations, often evaluated in terms of reliability, responsiveness, assurance, empathy, and tangibles.

Direct Leadership

A leadership approach where the leader interacts with followers directly, providing clear instructions, guidance, and feedback.

Human Capital

The skills, knowledge, experiences, and abilities possessed by individuals, regarded as assets to an organization or country.