If an increase in the minimum wage increases workers' incomes by $75 and reduces employers' incomes by $100, while workers' spend all of their income increase but employers reduce their spending by only seventy-five percent of their income reduction, aggregate spending
A)falls by $5.
B)falls by $25.
C)falls by $80.
D)remains unchanged.

Question

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The Answer of If an increase in the minimum wage increases workers' incomes by $75 and reduces employers' incomes by $100, while workers' spend all of their income increase but employers reduce their spending by only seventy-five percent of their income reduction, aggregate spending
A)falls by $5.
B)falls by $25.
C)falls by $80.
D)remains unchanged.

If an Increase in the Minimum Wage Increases Workers' Incomes