Which of the following is a consequence of minimum wage laws?
A)Low-skilled workers benefit because minimum wage increases the number of jobs providing low-skilled workers with training.
B)Some employers will be reluctant to hire as many workers as they would without a minimum wage.
C)Producers have an incentive to offer workers non-wage benefits such as health care benefits and convenient working hours rather than a higher wage.
D)All workers benefit when the minimum wage is increased.

Question

Quizplus · Accepted Answer

Minimum wage laws can create a situation where some employers cannot afford to hire as many workers as they would without the minimum wage. This can especially impact low-skilled and entry-level workers who may have their job opportunities reduced. While some workers may benefit from an increased minimum wage, it can also lead to unintended consequences for the job market. Option A is incorrect as minimum wage laws do not necessarily increase the number of jobs available for low-skilled workers. Option C may be true in some cases, but it is not a universal consequence of minimum wage laws. Option D is incorrect as not all workers benefit from minimum wage increases.

Which of the Following Is a Consequence of Minimum Wage