If a minimum wage is set above the free-market equilibrium wage in a competitive labour market, the labour market will experience an increase in wages and employment will decrease. employment will increase. employment will remain the same. there is an unpredictable effect on employment. there will be no unemployment.

If a minimum wage is set above the free-market equilibrium wage in a competitive labour market, the labour market will experience an increase in wages and employment will decrease. employment will increase. employment will remain the same. there is an unpredictable effect on employment. there will be no unemployment.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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