The Effect of Legislation Establishing a Minimum Wage Above the Market

question 2

Multiple Choice

The effect of legislation establishing a minimum wage above the market clearing wage is

• A) unemployment.
• B) a shortage of labor.
• C) higher wages for all workers.
• D) a shift of the demand for labor curve.

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Definitions:

Human Error

A mistake made by a person rather than caused by a malfunctioning machine or system.

Sedimentary Rock

Rock formed from the accumulation and lithification of mineral and organic particles on Earth's surface, often containing fossils and providing insights into Earth's history.

Saudi Arabia

A country located on the Arabian Peninsula, known for its vast deserts, oil reserves, and as the birthplace of Islam.

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration, a key greenhouse gas contributing to global warming.