When a Minimum-Wage Law Forces the Wage to Remain Above

question 84

Multiple Choice

When a minimum-wage law forces the wage to remain above the equilibrium level, the result is

• A)both a shortage of labor and a shortage of jobs.
• B)a shortage of labor and a surplus of jobs.
• C)a surplus of labor and a shortage of jobs.
• D)both surplus of labor and a surplus of jobs.

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Definitions:

Support Products

Goods or services purchased by a business to facilitate its operations, distinct from its core offerings to its customers.

Maintenance

The process of preserving a condition or situation or the work necessary to keep something functioning or in service.

Accessory Equipment

Additional or supplemental devices or tools used to enhance or support the main functionality of a primary product or system.

Business Products

Goods and services that are sold to other businesses for further production, resale, or use in operations.