Minimum-Wage Laws and Unions Are Similar to Each Other but Different

question 5

Multiple Choice

Minimum-wage laws and unions are similar to each other but different from efficiency wages in that minimum-wage law and unions

• A)cause unemployment,but efficiency wages do not.
• B)cause the quantity of labor supplied to exceed the quantity of labor demanded,but efficiency wages do not.
• C)cause wages to be above the equilibrium level.
• D)prevent firms from lowering wages in the presence of a surplus of workers.

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Definitions:

Distress

Extreme anxiety, pain, or sorrow, often resulting from experiencing or anticipating stressors or adversities.

Empathy

The ability to understand and share the feelings of another, fostering emotional connection and social bonding.

Males

Members of the sex that produces small, mobile gametes, typically associated with certain biological and physical characteristics.

Females

Referring to the sex that typically has the ability to produce eggs (ova) and bear offspring.