Why Do Some Workers Lose Their Job When the Minimum

question 36

Multiple Choice

Why do some workers lose their job when the minimum wage is increased?

• A) The increase in labor costs decreases the supply of the product, thereby raising the price of the good so that the equilibrium quantity decreases to zero.
• B) The increase in the minimum wage decreases the quantity of labor demanded.
• C) The demand for labor is perfectly inelastic.
• D) The supply of labor decreases.
• E) The demand for labor is perfectly elastic.

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Definitions:

Total Current Assets

The aggregate amount of all assets expected to be converted into cash, sold, or consumed within one year or within the operating cycle of a business.

Assets Due

Typically refers to amounts or assets scheduled for receipt or payment within a predefined period; however, "Due" often relates to liabilities (e.g., accounts payable). NO precise term called "Assets Due" in standard financial terminology without further context.

90-Day Note

A short-term debt instrument that matures in 90 days, typically used for financing immediate needs.

360-Day Year

The 360-day year is used in financial calculations to simplify interest calculations, assuming each month has 30 days.