The Equilibrium Wage in a Local Labour Market Is $12

Multiple Choice

The equilibrium wage in a local labour market is $12 per hour.If a minimum wage of $15 per hour is imposed, which of the following will occur?

A) There will be an increase in unemployment.
B) There will be an increase in the quantity of labour demanded by firms.
C) There will be a decrease in the quantity of labour supplied by households.
D) There will be a decrease in automation.
E) All of the above will occur.