Which of the Following Is Most Likely to Occur After

question 80

Multiple Choice

Which of the following is most likely to occur after an increase in the minimum wage?

• A)Low-skilled minority workers will face less discrimination in seeking employment.
• B)The demand for skilled workers will fall.
• C)Wages will rise in the sectors of the economy not covered by the law.
• D)Employers will reduce the fringe benefits for workers who are covered by the law.

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Definitions:

Exchange

A marketplace where securities, commodities, derivatives, and other financial instruments are traded.

Future

In finance, a future is a standardized legal agreement to buy or sell something at a predetermined price at a specified time in the future, often used as a financial instrument for hedging or speculation.

Swap Contract

A swap contract is an agreement between two parties to exchange financial instruments or cash flows at a future date based on specified terms.

Specified Cash Flows

Specified Cash Flows refers to particular amounts of money that are expected to be received or paid out at defined times during the life of a financial instrument or investment.