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What happens when government raises the minimum wage above market levels?
Dedaa
When the minimum wage is above the market levels, people undergo loss of work as companies tend to hire less. This in turn affects the economy of the country and the unemployment rate shoots up.
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∙ 11y ago
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How is price determined under imperfect market?
Remember under this market there's a government intervention.the Government determine the prices of the market by using the minimum(the minimum that the market can charge) and maximum wage(Maximum that the market can charge)
What happens to the total surplus in a market when the government imposes a tax?
Total surplus decreases.
What happens to the open market operations during inflation?
sell more government bonds
What happens when government imposes price ceilings and floors in a market?
efficiency
Is the USSR's government a free market economy government?
yes it is a free market government
How is price determined under imperfect market?
Remember under this market there's a government intervention.the Government determine the prices of the market by using the minimum(the minimum that the market can charge) and maximum wage(Maximum that the market can charge)
What happens to the total surplus in a market when the government imposes a tax?
Total surplus decreases.
What happens to the open market operations during inflation?
sell more government bonds
Which of the following is another term for a market economy?
A market economy, also widely known as a "free market economy," is one in which goods are bought and sold and prices are determined by the free market, with a minimum of external government control.
What happens when government imposes price ceilings and floors in a market?
efficiency
Is the Italian economy a market economy or a command economy?
Italy's economy may have strong government regulation, but it is first and foremost a MARKET ECONOMY because firms choose their own levels of production, not the Italian government (which would be the case in a command economy).
Which Indian company charge minimum brokerage in stock market?
Which indian company charge minimum brokerage in stock market?
What happens when a company goes public?
It begins selling shares of stock in a public stock market
Is the USSR's government a free market economy government?
yes it is a free market government
What countries are Free Market System?
Countries using the Free Market systems have lower levels of government ownership of industry. The United States, Canada, United Kingdom, South Africa, Mexico, and Germany all use Free Market systems.
What is minimum price legislation?
The minimum price legislation is the commodity sold at any price price below the one stated example government or authorities. The intention is to protect the supplier at times when the market id at equilibrium and price tends to fall (due surplus). To be effective, a minimum price must be set above prevailing current market equilibrium price. Also there should be no cheating.
What best explains the level of wages in the US doesn't follow pure free-market principles?
The federal government and some local governments have imposed minimum wage laws that set the floor for some jobs above what they would get in a free-market under the theory that without those laws the wages would be lower if set by the free-market. Immigration laws also influence wage levels since there are limitations on where labor can come from and two different wage levels depending on whether the workers are legal or illegal rather than a single wage level that would be present in a pure free-market.
