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“The minimum wage law can simultaneously increase wages and employment in markets in which employers have some monopsony power†(Lipsey, p.336). In the simplest example of a monopsony power, there is only one employer in the area. The result of paying a slightly higher wage can result in higher output and profits...
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“The minimum wage law can simultaneously increase wages and employment in markets in which employers have some monopsony power†(Lipsey, p.336). In the simplest example of a monopsony power, there is only one employer in the area. The result of paying a slightly higher wage can result in higher output and profits...
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General points of the essay
How has the level of employment/unemployment and national minimum wage legislation impacted on the economy as a whole and how will this effect the economy in the years to come?
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Minimum Wage: A Brief Study Of The Princeton Research
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