The minimum wage
A)is an example of a government-created barrier to entry
B)was designed as a way to increase employment of low-skilled workers
C)is an attempt to raise the incomes of low-income workers
D)is an example of a price ceiling
E)is an example of a derived demand

Question

Quizplus · Accepted Answer

The minimum wage is designed to raise the incomes of low-income workers by mandating a minimum hourly rate of pay for all workers. It is not a government-created barrier to entry or an attempt to increase employment of low-skilled workers, and it is not a price ceiling or an example of derived demand.

The Minimum Wage