Explain how low-skilled workers might actually be made worse off from a minimum wage law in terms of working conditions and job training. In addition, what might be the long-run impact on wages and earnings?

What will be an ideal response?

Essentially employers are not being allowed to offer lower wages to workers in exchange for more on-the-job training. Therefore, it is at least reasonable to assume that in the face of having to pay higher wages per hour that firms may simply react by providing less training. In the end this may actually have the effect of making workers less productive than they might otherwise be and lead to a reduction in life-time wages and earnings.