If the Legal Minimum Wage Is Set Above the Equilibrium

question 21

Multiple Choice

If the legal minimum wage is set above the equilibrium wage rate

• A)employment will tend to be lower than it otherwise would have been.
• B)employment will tend to be higher than it otherwise would have been.
• C)the level of employment will not be affected.
• D)there is no way to determine how the level of employment would be affected.

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Definitions:

Unfreezing

The initial phase in the change process where individuals or organizations become aware of the need for change.

Driving Forces

Factors or elements that motivate and influence the direction and momentum of change or growth.

Restraining Forces

Factors that resist or oppose the process of organizational change, making it challenging to implement new strategies or processes.

Dysfunctional Conflict

A type of conflict that is destructive, hampers productivity, diminishes cooperation, and leads to further conflicts.