Multiple Choice
How would an economist explain a teenager's continued unemployment where there exists a minimum wage?
A) The minimum wage law made it such that the quantity of labor willing to work at that wage was less than the quantity of labor demanded at that wage.
B) The minimum wage law made it illegal to hire teenagers because they likely would have been unable to work a minimum number of hours.
C) The minimum wage law made it such that the quantity of labor willing to work at that wage was greater than the quantity of labor demanded at that wage.
D) The minimum wage law made it such that the market had reached equilibrium.
E) The minimum wage law was nonbinding.
Correct Answer:

Verified
Correct Answer:
Verified
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