Minimum Wage Laws Are Promoted as the Means of Increasing

question 11

Multiple Choice

Minimum wage laws are promoted as the means of increasing the standard of living of the working poor.Which of the following is the most likely adverse consequence of minimum wage laws that makes the working poor worse off?

• A)The least skilled workers are priced out of the labor market.
• B)Firms respond by increasing other forms of non-wage compensation such as training and holiday pay.
• C)The average price level declines,increasing the spending power of the people.
• D)The skilled workers end up receiving a below average wage rate.

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Definitions:

Emotional

Relating to one's feelings or emotions, often implicating the capacity to experience and respond to feelings both internally and in interaction with others.

Moral Dilemmas

Situations in which a difficult choice has to be made between two or more actions, each of which has morally significant consequences.

Civilize

The process or act of bringing a society to a stage of social, cultural, and moral development considered to be more advanced, often viewed critically as implying supremacy over other cultures.

Americanized

The process through which non-American cultures, practices, or individuals become assimilated or adapted to American customs and values.