-In Figure 33.1, how many people would be unemployed at the minimum wage? A)L_S - L* B)L*-L_min C)L_S-L_min D)L*

Question

Quizplus · Accepted Answer

The correct answer involves subtracting the labor supply at the minimum wage (L_min) from the labor supply at the equilibrium wage without minimum wage intervention (L_S). This difference represents the number of people who would be unemployed at the minimum wage because it exceeds the quantity of labor demanded at that wage.