Ceteris paribus, all of the following result when the minimum wage is raised in a competitive market, except
A) Some workers lose their jobs.
B) There are fewer workers available to work.
C) Workers with a marginal revenue product below the minimum wage are worse off.
D) There are fewer jobs available.

Question

Quizplus · Accepted Answer

When the minimum wage is raised in a competitive market, there may be some workers who lose their jobs (A), workers with a marginal revenue product below the minimum wage may be worse off (C), and there may be fewer jobs available (D). However, there should not be fewer workers available to work (B) as the minimum wage increase may attract more people to the labor market.

Ceteris Paribus, All of the Following Result When the Minimum