Suppose the equilibrium wage rate for apricot pickers is $9.00 per hour in California and at that wage rate the equilibrium quantity of apricot pickers is 14,000. If the minimum wage is set at $7.50 per hour, then
A)the quantity of apricot pickers employed increases.
B)the quantity of apricot pickers employed decreases.
C)the quantity of apricot pickers employed does not change.
D)the wage rate for apricot pickers increases.
E)some apricot pickers are unemployed.

Question

Quizplus · Accepted Answer

Since the minimum wage of $7.50 is below the equilibrium wage of $9.00, it does not affect the market, and the quantity of apricot pickers employed remains at the equilibrium level of 14,000.

Suppose the Equilibrium Wage Rate for Apricot Pickers Is $9