Whenever it is snowing when Joe Commuter gets up in the morning, he misjudges how long it will take him to drive to work. Otherwise, his expectations…October 8, 2020
State whether the following statements are true, false, or uncertain, and explain why. Political leaders rely on positive economics in deciding…October 8, 2020
Suppose the economy has two sectors: one “covered” where laws are enforced and one “uncovered” where employers can do whatever. Suppose the two markets have identical wage rates initially… but then a minimum wage law is passed increasing the wages paid for each employee in the covered sector. Show graphically how an increase in minimum wage (binding) should influence wages and employment in both markets.
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