For a minimum wage to have any impact on a labor market,it must be set at a level

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The minimum wage must be set higher than the equilibrium wage, which is the wage at which the quantity of labor supplied is equal to the quantity of labor demanded. By setting the minimum wage above this level, it creates a price floor that employers must pay their employees. This can lead to a decrease in employment as some employers may no longer be willing or able to pay the higher wage.

For a Minimum Wage to Have Any Impact on a Labor