If the government decides to raise the minimum wage,ceteris paribus:

Question

Quizplus · Accepted Answer

Raising the minimum wage may benefit workers who are currently earning less than the new minimum wage, as they would experience an increase in their income. However, some employers may respond by reducing their employees' hours or laying off workers to compensate for the increased labor costs, which would leave some workers worse off. Therefore, some workers would benefit while others would suffer negative consequences.

If the Government Decides to Raise the Minimum Wage,ceteris Paribus