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

question 61

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 increased.
• 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)The labour market is efficient.

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Definitions:

Language Deficits

Impairments or deficits in the ability to use or comprehend spoken, written, or other language symbols.

Brain Abnormalities

Structural or functional deviations in the brain that affect normal brain operation.

Gender Differences

Variations in the characteristics, behavior, physical and psychological traits, and social structures between males and females.

Anhedonia

The incapacity to experience enjoyment in activities that typically bring pleasure.