7. Comment on the following quotation: "One way that a minimum wage could result in expanded...

Question

Question

7. Comment on the following quotation: One way that a minimum wage could result in expanded employment is if the government sets the minimum below the market equilibrium wage.

business economics

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Hope this answer solves your purpose. Do give it a thumbs up. All the best.

Add a comment

Answer 2

Similar Homework Help Questions

7. Comment on the following quotation: "One way that a minimum wage could result in expanded...

7. Comment on the following quotation: "One way that a minimum wage could result in expanded employment is if the government sets the minimum below the market equilibrium wage.
6. Suppose that the supply curve for school teachers is Ls - 20,000 + 350W and...

6. Suppose that the supply curve for school teachers is Ls - 20,000 + 350W and the demand curve for school teachers is Ld = 100,000 - 150W, where L = the number of teachers and W= the daily wage. a. Plot the demand and supply curves. b. What are the equilibrium wage and employment level in this market? c. Now suppose that at any given wage 20,000 more workers are willing to work as school teachers. Plot the new...
From time to time, the government has raised the minimum wage. Some people suggested that a...

From time to time, the government has raised the minimum wage. Some people suggested that a government subsidy could help employers finance the higher wage. This example examines the economics of a minimum wage and wage subsidies. Suppose the supply of labor given by Ls=10W, where Ls is the quantity of labor (in millions of persons employed each) and w is the wage rate (in dollars per hour). The demand for labor is given by Ld= 80-10W. a) What will...

3. In 1996, Congress raised the minimum wage from $4.25 per hour to $5.15 per hour,...

3. In 1996, Congress raised the minimum wage from $4.25 per hour to $5.15 per hour, and then raised it again in 2007. Some people suggested that a government subsidy could help employers finance the higher wage. This exercise examines the economics of a minimum wage and wage subsidies. Suppose the supply of low-skilled labor is given by LS = 10w, where LS is the quantity of low-skilled labor, and w is the wage rate. The demand for labor is...
9、Let W and L denote the wage and the amount of labor employed, respectively. A firm...

9、Let W and L denote the wage and the amount of labor employed, respectively. A firm faces the labor supply curve L = 2W - 6 and the marginal product of labor is given by MPL = 20 - L. The firm sells its output in a perfectly competitive market at $0.50 each. (a) If this labor market is perfectly competitive, find the equilibrium employment, the equilibrium wage, and the number of unemployed people. (b) Suppose that the government imposes...
the minimum wage is one way some politicians favor helping low income americans . draw the...

the minimum wage is one way some politicians favor helping low income americans . draw the market for unskilled labor and show the effects of the minimum wage,. label the wage in the market, the number of jobs, and the amount of unemployment

For a given increase in the minimum wage, which of the following would likely result in...

For a given increase in the minimum wage, which of the following would likely result in a larger decrease in teenage employment? Teenager labor represent a small fraction of the cost of making goods. Teenagers produce goods in which demand is inelastic (i.e., the output demand curve is relatively steep). Teenage workers are close substitutes with older workers who are paid more than the minimum wage.
Problems & Applications (Ch 06) Suppose the minimum wage is $6 per hour in the market...

Problems & Applications (Ch 06) Suppose the minimum wage is $6 per hour in the market for unskilled labor, as shown on the following graph Use the grey point (star symbol) to indicate the market equilibrium wage and quantity of labor in the absence of a minimum wage. Then use the purple point (diamond symbol) to indicate the level of employment at the minimum wage provided, and use the orange point (square symbol) to indicate the quantity of labor supplied...
The imposition of a binding (effective) minimum wage above the equilibrium wage in the unskilled labor...

The imposition of a binding (effective) minimum wage above the equilibrium wage in the unskilled labor market will (x) reduce the number of unskilled persons employed because of a decrease in the quantity supplied of labor (y) increase the unemployment rate because of a decrease in the quantity demanded of labor (z) reduce employment of unskilled persons because of a decrease in the quantity demanded of labor. A. (x), (y) and (z) B. (x) and (y) only C. (x) and...

please listen it on google. Birth of the Minimum Wage 10 pts Last week, we are...

please listen it on google. Birth of the Minimum Wage 10 pts Last week, we are looking at government intervention in the free market (chapters 3/4). Governments may intervene for many different reasons, and in chapters 3/4 week we are mostly looking at price regulation. What should the government do if the price as determined by the free market for essentials like housing and food, if the free market price is too high for many people to afford? What if...

7. Comment on the following quotation: "One way that a minimum wage could result in expanded...

Homework Answers