Explain why low-skilled workers find that their employment opportunities are less with a minimum wage
What will be an ideal response?
A minimum wage set above the equilibrium wage rate decreases the quantity of labor demanded, so employment decreases with a minimum wage. This effect is particularly strong in the market for low-skilled labor, because it is low-skilled labor that is paid low wage rates. Thus it is low-skilled workers for whom the decrease in employment is severe.
Economics
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The cross elasticity of demand for substitutes is always positive
Indicate whether the statement is true or false
Economics
Other things equal, the currency price of U.S. dollars in terms of foreign currency is negatively related to foreign demand for U.S. goods and services
a. True b. False Indicate whether the statement is true or false
Economics