Question

6. Would an increase in the minimum wage make it more likely that an unemployed worker, who had previously worked at a minimum wage job, would re-enter the labor market?

Answer 1

Yes, an increase in the minimum wage make it more likely that an unemployed worker who had previously worked at a minimum wage job would re enter the labour market.

Because that worker has left the job because he was getting very less of wages, so that he is unable to fulfill his basic requirements.

And when there is an increase in minimum wages such that he is able to fulfill his basic requirements he would re enter into the market.

But those increment must be significant.

Government always tries to increase the minimum wages and also suggest to business and enterprises that they should keep a minimum sustainable amount of wages so that labours can easily survive, which is even morally necessary.