When the minimum wage is set above the equilibrium market wage, there will be an excess demand for labor at the minimum wage. it will have no effect on the quantity of labor employed. there will be an excess supply of labor at the minimum wage. the quality of the labor force will rise.

When the minimum wage is set above the equilibrium market wage, there will be an excess demand for labor at the minimum wage. it will have no effect on the quantity of labor employed. there will be an excess supply of labor at the minimum wage. the quality of the labor force will rise.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter10: Labor Markets And Income Distribution

Section: Chapter Questions

Problem 12SQ

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Question

When the minimum wage is set above the equilibrium market wage,

	there will be an excess demand for labor at the minimum wage.
	it will have no effect on the quantity of labor employed.
	there will be an excess supply of labor at the minimum wage.
	the quality of the labor force will rise.

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