Question: explain your answer What are the effects of a minimum wage set below the equilibrium wage? A minimum wage set below the equilibrium wage OA.

explain your answer

What are the effects of a minimum wage set below the equilibrium

What are the effects of a minimum wage set below the equilibrium wage? A minimum wage set below the equilibrium wage OA. lowers the wage rate and creates a labor shortage OB. has no effect on the equilibrium wage rate or the quantity' of labor employed OC. lowers the wage rate and creates a labor surplus OD. has no effect on the equilibrium wage rate but it creates a black market for labor

Step by Step Solution

★★★★★

3.49 Rating (166 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

The detailed answer for the above question is provided below Answer Option B has no effect on th... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Answer and explain your answer for each of the events listed below. a. What happens to the demand curve for pumpkins in October? b. What happens to the demand curve for Gatorade in summer? c. What...

Answer and explain your answer for each of the events listed below. a. What happens to the supply curve of new homes if the wage rate paid to carpenters falls? b. Companies can produce both cardigan...

Explain how your answer to question 19 helps us understand why wages tend to rise faster as real output increases.

Alpha, Inc., and Beta Co. are sheet metal processors that supply component parts for consumer product manufacturers. Alpha, Inc., has been in business since 1980 and is operating in its original...

1. Discuss how changing industry conditions have encouraged consolidation within the telecommunications industry. 2. What alternative strategies could Verizon, Qwest, and MCI have pursued? Was the...

Doisneau 20-year bonds have a 10 percent annual coupon interest, make interest payments on a semiannual basis, and have a $1,000 par value. If the bonds are trading with a 12 percent markets required...

Use the information in the table on labor productivities in France and Germany to answer questions a through f. a. Which country has an absolute advantage in cheese? In cars? b. What is the relative...

The CFO of a large bank argues: It is ridiculous to recognize any fair-value gains or losses on our debt instruments that we intend holding to maturity. Since we intend holding these securities, we...

Many job design experts who have studied the changing nature of work say that people do their best work when theyre motivated by a sense of purpose rather than by the pursuit of money. Do you agree?...

1. Is this deal a merger or a consolidation from a legal standpoint? Explain your answer. 2. Is this a horizontal or vertical merger? What is the significance of this distinction from a regulatory...

Determine the payback period for a 10-year investment project that will cost P9.8M in depreciable assets. The project is expected to earn P2.5M annually, with yearly expenses for operations,...

Air is contained within a cylinder in which heat is being transferred to it via a heating coil. Initially the air is at a temperature T and is heated until a final temperature of T2. The total heat...

f ( x ) = x 3 3 x - 1 Compute the following values. If one is not defined, type Undefined. f ( 0 ) = f ( 8 ) = f ( 1 3 ) =

On January 1, the company obtained a $10,000, 8% loan. The $800 interest is payable at the end of each year, with the principal amount to be repaid in five years. As of the end of the year, the first...

In the following examples, use the statutory and case law presented in the hypothetical at the beginning of the chapter, that is, 96-25-16 and Karl v. Herald. The client seeks redress for the other...

Floral Gardens Incorporated is a nationwide chain of garden centres that operates as a private company. In 2014, it issued three new financial instruments. All three of these instruments are new to...

The company has bonds payable with a total face value of $150,000 and a carrying value of $142,000. In addition, unpaid interest on the bonds has been accrued in the amount of $8,000. The lender has...

Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (A) a sales budget and (B) a production budget: Rumble Thunder...

An advertising company wants to investigate the mean number of hours spent by an adult (40 and older) using Facebook. How many adults 40 and older need to be surveyed by this company? From past...

2 What are the effects of a minimum wage set below the equilibrium wage? In Europe, minimum wages policies are widespread but rates vary. They are highest in France at 60 per cent of the median wage...

Link for article needed in part b question 2:...

What is the effect of a minimum wage set above the equilibrium wage rate? Question content area bottom Part 1 A minimum wage set above the equilibrium wage rate _ _ _ _ _ _ _ . A . creates more...

Coastline Home - cccd.edu x - Writing Assignment 6: Rent Cont *Cult_Assignment_4.docx X C A coastdistrict.instructure.com/courses/88724/assignments/1587775 DEN WEST CORI GWC = ECON110-23092 (ONL) >...