Multiple Choice
Critics of the minimum wage argue that an increase in the minimum wage rate above the equilibrium rate of a purely competitive labor market would
A) increase unemployment in the labor market.
B) increase firms' demand for labor.
C) decrease the supply of labor.
D) cause firms to substitute labor for capital.
Correct Answer:
Verified
Correct Answer:
Verified
Q128: In a purely competitive labor market, an
Q167: In which of the following U.S. industries
Q168: A firm can hire six workers at
Q169: Paying an above-equilibrium wage rate might reduce
Q171: The reason that the supply curve for
Q173: Construction workers frequently sponsor political lobbying in
Q174: The consumer price index is 113 in
Q175: According to proponents of human capital theory,
Q176: The nominal annual wage increases from $20,000
Q177: The marginal cost of a productive resource