An Increase in the Federal Minimum Wage Would Shift the Long-Run

question 187

True/False

An increase in the federal minimum wage would shift the long-run aggregate supply curve inward (to the left).

---

Definitions:

Superstar Phenomenon

The tendency for small differences in talent or output to translate into large differences in recognition and earnings, particularly seen in sports and entertainment industries.

Supply Curve

A graph illustrating the relationship between the price of a good and the quantity of that good that producers are willing to supply.

Earn Per Hour

The rate at which an individual is compensated financially for each hour of work.

Wage

The compensation received by workers for their labor, typically quoted on an hourly, daily, or weekly basis.