Suppose That the Minimum Wage Covers All Sectors of the Economy;

question 100

Essay

Suppose that the minimum wage covers all sectors of the economy; however,for unionized laborers,the minimum wage is ineffective.That is,the union wage is already above the minimum wage.Analyze the impact of an increase in the minimum wage on both the unionized and non-unionized labor markets.(Assume that the higher minimum wage is still ineffective in the unionized sector and that union and nonunion labor are substitutable.)

---

Definitions:

Independent

Free from external control or influence; capable of thinking or acting for oneself.

Synthetic Thinking

The ability to put together separate pieces of information, concepts, or ideas to form a cohesive whole or new insights.

Systems Theorists

Scholars who study the interrelated components of systems, focusing on how parts interact within a whole.

Inside-out

An approach or perspective that starts from within an organization and works toward its external environment, focusing on leveraging internal strengths.