Card 12 / 53: Explain how the poorest and most desperate are actually hurt by minimum wage laws.
Answer:
Immigrants and low-skilled workers can only compete by offering to do jobs at lower wages than native and high-skilled workers. Minimum wage laws make it illegal for them to undercut their rivals too much. Minimum wage laws effectively take away the one option that the poor and desperate have, to ensure that they can get a job. Sample Partial Credit Answer High-skilled workers can get hired above the minimum wage, so it doesn't directly affect their working conditions.
Previous Card | ← Previous Card Button |
Next Card | → Next Card Button |
Flip Card | Space-Bar |