New Enroll for RBI, SEBI & NABARD Intro Class! April 18 at 9:15 PM

    Question

    A minimum wage is defined as: 

    A The price floor below which workers may not sell their labor Correct Answer Incorrect Answer
    B A wage set below the equilibrium wage Correct Answer Incorrect Answer
    C A price ceiling for wages Correct Answer Incorrect Answer
    D A factor that decreases unemployment Correct Answer Incorrect Answer

    Solution

    A minimum wage is a government-imposed price floor for wages. It ensures that workers receive a wage that is above a certain legal threshold, preventing exploitation but potentially increasing unemployment if set too high.

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