_____ reduce the quantity of labor demanded.

Question

Quizplus · Accepted Answer

Both minimum wages and union wages can increase the cost of labor for an employer, which can reduce the quantity of labor demanded. Minimum wages set a legal floor for wages, which can increase the cost of hiring workers for employers. Similarly, union wages are negotiated by unions to ensure that their members receive higher wages, which can also increase labor costs for employers. Therefore, both minimum wages and union wages can reduce the quantity of labor demanded by employers.

_____ Reduce the Quantity of Labor Demanded