If the equilibrium wage rate is $4 per hour,and the minimum wage is $5.15 per hour,a shortage of labor will exist.

Question

Quizplus · Accepted Answer

Since the minimum wage is above the equilibrium wage rate, there will be a surplus of labor, not a shortage. Employers will be willing to hire fewer workers at the higher wage rate, while more workers will be willing to work at the higher wage rate, leading to a surplus of labor.

If the Equilibrium Wage Rate Is $4 Per Hour,and the Minimum