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Ilya [14]
3 years ago
10

A minimum wage increases unemployment by

Business
1 answer:
allochka39001 [22]3 years ago
5 0

Answer:

A. decreasing the quantity of labor demanded. The minimum wage is an imposition to labor market that does not affect supply and demand functions (options b to e discarded).

Explanation:

This imposition set a minimum level of wage not related to market price formation mechanism. When equilibrium wage is below of minimum wage salary, the unemployment appears as a consequence (because at minimum wage level the supply of labor surpasses the demand).

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2 years ago
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Suppose total benefits and total costs are given by B(Y) = 100Y − 8Y2 and C(Y) = 10Y2. Then marginal benefits are: 14) ______
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