A binding minimum wage will increase the income of
A) all workers.
B) potential workers seeking employment.
C) only those workers in jobs that would normally pay less than minimum wage.
D) only those workers in jobs that would normally pay more than minimum wage.
E) no workers.

Question

Quizplus · Accepted Answer

A binding minimum wage sets a legal floor on the wages that employers can pay their workers. This means that all workers earning wages below the minimum wage will see an increase in their income. Workers in jobs that already pay above the minimum wage will not be affected. Therefore, the correct choice is C - only those workers in jobs that would normally pay less than minimum wage.

A Binding Minimum Wage Will Increase the Income of