When the minimum wage increases:
A) unemployment among skilled workers decreases.
B) fewer workers are willing to work off the books.
C) employment of unskilled workers increases.
D) unemployment among unskilled workers increases.

Question

Quizplus · Accepted Answer

When the minimum wage increases, employers may hire fewer unskilled workers due to higher labor costs, potentially leading to increased unemployment among this group.

When the Minimum Wage Increases