What happens when wages are set above the equilibrium level by law?

What will be an ideal response?


Answer: Firms employ fewer workers than they would at the equilibrium wage.

Economics

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Airbus is an European jet airline producer. Indian Airlines wants to buy 23 Airbus planes from Airbus, due to increased demand for world travel. As a result, the

A) demand curve for euros shifts rightward. B) demand curve for euros shifts leftward. C) supply curve for euros shifts rightward. D) quantity demanded for euros decreases.

Economics

In the event of deflation, or negative inflation, then

a. real GDP is always lower than nominal GDP. b. real GDP is always lower than nominal GDP after the base year. c. real GDP is always lower than nominal GDP. d. real GDP is always higher than nominal GDP before the base year. e. None of the above

Economics

In the U.S., taxes are paid on one's _____ gains/returns. Therefore, a _____ inflation rate encourages more saving

Fill in the blank(s) with correct word

Economics

Under international trade we export those goods for which we have a relatively low

A. materials cost. B. wage cost. C. accounting cost. D. opportunity cost.

Economics