Ceteris paribus,all of the following result when the minimum wage is raised in a competitive market,except

Question

Quizplus · Accepted Answer

When the minimum wage is raised in a competitive market, there is likely to be an increase in the quantity of workers willing to work at that wage, as it becomes more attractive. This would contradict option B, which states that there are fewer workers available to work. However, options A and C are correct - some workers may lose their jobs if their salaries cannot be accommodated by the higher minimum wage, and workers with a marginal revenue product below the minimum wage are worse off as they may become less attractive to employers.

Ceteris Paribus,all of the Following Result When the Minimum Wage