The rule-of-thumb among many economists suggests that a 10% increase in the minimum wage results in a ________ in the number of jobs held by teens.
A)10% to 15% drop
B)10% to 15% increase
C)1% to 3% increase
D)1% to 3% drop

Question

Quizplus · Accepted Answer

The most widely accepted estimate suggests that a 10% increase in the minimum wage results in a 1% to 3% reduction in the number of jobs held by teens. Therefore, the best option is D.

The Rule-Of-Thumb Among Many Economists Suggests That a 10% Increase