If minimum wages are set above the equilibrium wage in the market, then the number of workers hired will be _____ the number of people who are willing to work.
A) less than
B) greater than
C) equal to
D) less than, greater than, or equal to

Question

Quizplus · Accepted Answer

When minimum wages are set above the equilibrium wage, it creates a surplus of labor, meaning more people are willing to work at that wage than there are jobs available, leading to fewer workers being hired than those willing to work.

If Minimum Wages Are Set Above the Equilibrium Wage in the Market