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The Long-Run Effect of Laws That Raise the Minimum Wage

Question 57

Multiple Choice

The long-run effect of laws that raise the minimum wage is that


A) any short-run effect disappears and there is no long-run impact.
B) the demand for minimum wage workers rises and more minimum wage workers are hired.
C) labor-saving devices and management practices are slowly adopted.
D) labor-saving devices are quickly adopted to replace labor.

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