Ceteris paribus, all of the following result when the minimum wage is raised and is above the equilibrium in a competitive market, except
A. Some workers lose their jobs.
B. Workers with a marginal revenue product below the minimum wage are worse off.
C. There are fewer workers available to work.
D. There are fewer jobs available.
Answer: C
Economics
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One consequence of raising tax rates is that it
a. provides an added incentive to work b. provides less incentive to participate in the underground economy c. always increases total tax revenues d. leads to less underreporting of income e. leads to more underreporting of income
Economics
Refer to the above figure. Medicare subsidies have increased the price of medical services to Ps. The quantity demanded of medical services is
A. QM. B. Q0. C. Qd. D. undetermined without more information.
Economics