What will happen if a newly imposed minimum wage is set above the equilibrium wage in a labour market

Question

Quizplus · Accepted Answer

Setting a minimum wage above the equilibrium wage will create a surplus of workers in the market, as more people will be willing to work at the higher wage. This surplus will lead to a decrease in demand for labor from employers, leading them to lay off some workers, leading to unemployment. So, some workers will get a raise, but some will lose their jobs, leading to a mixed outcome.

What Will Happen If a Newly Imposed Minimum Wage Is