Question

Respond too this statement on why you agree with it and what else could have been...

Respond too this statement on why you agree with it and what else could have been added, response must be a paragraph long, 5 sentences, cite and add a outside source from the internet too future help your information. Thank you!

"A higher minimum wage does cause an increase in unemployment in low-skilled workers. Businesses must figure out how to increase revenues in order to support the higher labor wage without passing on the entire raise to the consumer. Most companies will achieve this by cutting back on labor, paying fewer individuals who can be more labor productive. This means they will need to hire laborers who are cross skilled. The more skilled the laborer, the more labor he/she can do. When minimum wage rates were lower, a brand new to the workforce laborer, such as a 16-year-old teenager, could enter the workforce and learn new skills to help prepare him to be a more productive laborer. With a higher minimum wage, the business may not have the time to train an unskilled worker. They need to hire a skilled worker who not only knows how to run the cash register and the software programs, but they also will already have customer service skills and problem solving skills. A business who has to provide the same level of service or goods with a smaller labor force will want to hire a more skilled labor force. This means the teenager who is new and still needs to develop skills will have a harder time finding employment".

Homework Answers

Answer #1

Imposition of high minimum wages in the labor market will lead to increase in the level of unemployment in the labor market. It has been observed that it leads to surplus of labor will leads to increase in unemployment level. This also reduces the demand for labor. The employers start looking for labor substitutes to produce output. In this case they demand more of the skilled labor who can do multi- tasking and this will also reduce their cost of production. This reduces the chances of interns being hired who need to develop skills and also need on the job training for their field. This reduces their chance of being hired. Thus price floor in the form of minimum wages will make it hard for the teenager to develop skills and thus will find it difficult to find employment in the long run.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
QUESTION 10 If unskilled labor and capital are substitutes, the price of unskilled labor decreases when...
QUESTION 10 If unskilled labor and capital are substitutes, the price of unskilled labor decreases when the price of capital increases. the cross-elasticity between unskilled labor and capital is positive. the price of capital is increasing. demand for unskilled labor increases when the price of capital decreases. QUESTION 11 The imposition of a minimum wage on a competitive labor market will likely create unemployment as some people enter the labor market while some firms reduce the quantity of labor they...
Please respond too this statement in 1-2 paragraphs (Explanation please) on on why you agree with...
Please respond too this statement in 1-2 paragraphs (Explanation please) on on why you agree with it and what other additionaly information you can add too help improve it. , will give positive rating. anything will do please Explain the externality that results from overfishing? Who is impacted? Because fishing has become a popular task, a lot of fishes have been fished out of the sea all over the world which has led to negative consequences. For example, it was...
Discuss three more specific examples of what you believe this second bank’s HR department could have...
Discuss three more specific examples of what you believe this second bank’s HR department could have done to improve the representative performance. Improving a Bank’s Customer Service One bank installed special software that made it easier for its customer service representatives to handle customers’ inquiries. However, the bank did not otherwise change the service reps’ jobs or training in any way. Here, the new software system did help the service reps handle more calls. But otherwise, this bank saw no...
You have been approached by a potential client who could bring you considerable business. She says,...
You have been approached by a potential client who could bring you considerable business. She says, "I'd like to find an alternative vendor for my future orders of 5,000/yr., but their pricing must be competitive." Your CFO has supplied you with the following information. Current product standard costs are as follows: Selling price per unit: $5,000 $1,400/unit direct material $400/unit direct labor $200/unit variable overhead $200/unit fixed overhead (this figure is the result of the budgeted fixed overhead of $2,000,000...
Discussion Question: What would you do case? (CH10) DUE 5/6 The words “Cessna Skyhawk” have special...
Discussion Question: What would you do case? (CH10) DUE 5/6 The words “Cessna Skyhawk” have special meaning for anyone who has ever wanted to learn to fly. At 27 feet long and 8 feet tall, with a 36-foot wingspan, a 140 mph cruising speed, and room for two adults and their luggage, more people have learned to fly with a Cessna Skyhawk than with any other plane in aviation history. In fact, the Cessna Skyhawk is the best-selling plane of...
1. The amount of __________increases when the economy goes into a recession and decreases when the...
1. The amount of __________increases when the economy goes into a recession and decreases when the economy goes into an expansion. a. structural unemployment b. seasonal unemployment c. cyclical unemployment d. frictional unemployment 2. It is difficult for cyclically unemployed persons to find jobs because a. they typically do not meet the qualifications required for the available jobs. b. the economy is in a recession. c. they voluntarily quit their last jobs and employers may view them as unreliable. d....
do you agree or disagree and why with the information below: Corporate-level strategies for Mitsubishi Corp....
do you agree or disagree and why with the information below: Corporate-level strategies for Mitsubishi Corp. Vertical integration is a tactic that a company such as Mitsubishi can use to improve its cost leadership position (Strategic Management, 2014c, pp. 249-252). This would work well for a company such as Mitsubishi because the company already has experience with this tactic. Due to the fact that Mitsubishi Corporation already forms many of the links in the value chain it likely will be...
Chapter 9 is about decision making. please read the comment and response and In 3-4 paragraphs....
Chapter 9 is about decision making. please read the comment and response and In 3-4 paragraphs. Please discuss your input/opinion. The focus of our discussion will be this article that I read in last week's New York Times. This is an open ended discussion with no framing question. I have gained tremendous insight reading the comments on this blog. One in particular really struck me recently. It came in response to a post that I had written quite a while...
If Heather could get the other managers, especially Jane and Carlos, to agree to let her...
If Heather could get the other managers, especially Jane and Carlos, to agree to let her develop a new compensation plan, which of these types of plan would it be? A single-use plan that shows how to achieve this unique goal that is unlikely to be repeated in the future A standing plan that will be used on an ongoing basis to provide guidance A strategy map that shows how compensation affects the organization’s strategy              A blueprint plan that shows...
What role could the governance of ethics have played if it had been in existence in...
What role could the governance of ethics have played if it had been in existence in the organization? Assess the leadership of Enron from an ethical perspective. THE FALL OF ENRON: A STAKEHOLDER FAILURE Once upon a time, there was a gleaming headquarters office tower in Houston, with a giant tilted "£"' in front, slowly revolving in the Texas sun. The Enron Corporation, which once ranked among the top Fortune 500 companies, collapsed in 2001 under a mountain of debt...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT
Active Questions
  • Implement the following functions with AVR assembly language 1) 2-byte addition (i.e, addition on 16-bit numbers)...
    asked 3 minutes ago
  • Assume you have a chemical compound (HA) that is a weak acid which changes color upon...
    asked 32 minutes ago
  • A company has two divisions. The first division consists of project management and generated $4,523,367 of...
    asked 33 minutes ago
  • Practice Quiz 1 Use the following information to answer questions 1 through 5.                              &
    asked 39 minutes ago
  • 3) The corrosion of iron is an electrochemical process that involves the standard reduction potentials given...
    asked 1 hour ago
  • Type or paste question here In 2015, the United States is still recovering from the recession....
    asked 1 hour ago
  • Failures of a critical machine part due to cyclical vibration has a gamma distribution with a...
    asked 1 hour ago
  • f(x)=ln(1+2x), a=4,n=3,3.7<=x<=4.3 (b) Use Taylor's Inequality to estimate the accuracy of the approximation f  Tn(x) when x...
    asked 1 hour ago
  • What is the meaning of convergent and divergent series? Explain your answer with example.
    asked 1 hour ago
  • Based on what you have learned in the textbook about feminism, discuss the approach by the...
    asked 2 hours ago
  • what is typeMismatch.java.time.LocalTime,typemismatch error and how can I solve it? could it be of the local...
    asked 3 hours ago
  • 12. A diagnostic test has a probability0.95 of giving a positive result when applied to a...
    asked 3 hours ago