Answer to Question #231236 in Microeconomics for Yaya

Question

If the government imposes a minimum wage at a level above the labour market's equilibrium wage,

[1] the quantity demanded of labour will be greater than the quantity supplied.

[2] the quantity demanded of labour will be less than the quantity supplied.

[3] anyone who wants a job at the minimum wage will be able to find one.

[4] employers will face a shortage of willing workers.

Answer 1

[2] the quantity demanded of labour will be less than the quantity supplied.