The more _____ is the demand for low-skilled workers, the _____ is the impact of minimum wage laws on the number of jobs available for low-skilled workers.
A)elastic; more constant
B)inelastic; more variable
C)elastic; smaller
D)inelastic; smaller

Question

Quizplus · Accepted Answer

When the demand for low-skilled workers is inelastic (meaning that the demand for these workers is not very responsive to changes in price or wages), then minimum wage laws are more likely to have a smaller impact on the number of jobs available for low-skilled workers. Conversely, if the demand for low-skilled workers is elastic (meaning that the demand for these workers is very responsive to changes in price or wages), then minimum wage laws are more likely to have a larger impact on the number of jobs available for low-skilled workers. Therefore, choice D is the best option as it correctly matches an inelastic demand for low-skilled workers with a smaller impact of minimum wage laws on the number of jobs available for them.

The More _____ Is the Demand for Low-Skilled Workers, the _____

The More _ Is the Demand for Low-Skilled Workers, the _