If the Minimum Wage Is Set Too High, in Some

question 101

Multiple Choice

If the minimum wage is set too high, in some labor markets we can expect to see

• A) a shortage of labor.
• B) an increase in on-the-job training.
• C) a surplus of labor.
• D) a decline in wage costs.

---

Definitions:

Labor Supply

The cumulative amount of time employees are prepared and capable of working for a specific rate of pay.

Discrimination

The unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, or sex.

Women's Wages

The average compensation or income earned by women for their labor or services, often discussed in the context of gender pay gap issues.

Men's Wages

The earnings received by men for their labor or services, often analyzed in comparison to women's wages for discussions on gender wage gaps.