On April 1, 2009, in the middle of a recession, the government of the province of Ontario, Canada increased the provincial minimum wage from $8.75 to $9.50. What will the likely effect of this policy be? Both the leftward shift in the labor demand curve and the higher minimum wage will lead to an increase in the unemployment rate. Low income workers will be better able to survive the recession at the new, higher wage rate. More people will be hired at the higher wage rate offsetting the effects of the recession. The higher wage will increase the supply of labor offsetting the effects of the recession.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “On April 1, 2009, in the middle of a recession, the government of the province of Ontario, Canada increased the provincial minimum wage ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
What are the factors which effect credit risk?
Answers (2)
Trend-setting toy companies or high-fashion clothing manufacturers have in common: A) an environment that is stable but complex, therefore requiring a mechanistic structure.
Answers (1)
Further research by the car wax manufacturer indicated that the proposed product would yield a 10 percent return on the firm's investment. The car wax manufacturer required a minimum of a 15 percent return to further consider the product.
Answers (1)
Octavia has received an email from a customer, asking her a question about a product. unfortunately, octavia doesn't know the answer.
Answers (1)
A large law firm uses an average of 10 packages of copier paper a day. Each package contains 500 sheets. The firm operates 260 days a year.
Answers (1)
New Questions in Business
The Herjavec Co. just paid a dividend of $1.85 per share on its stock. The dividends are expected to grow at a constant rate of 4 percent per year indefinitely. Investors require a return of 12 percent on the company's stock.
Answers (1)
Which mortgage would result in higher total payments? mortgage a: $970 a month for 30 years mortgage b: $760 a month for 5 years and $1005 for 25 years
Answers (1)
To assess the risk and return involved in a purchase decision, which practical questions should a potential buyer ask? Check all that apply.
Answers (1)
Euphrasia, a mixed open economy, was severely affected by a recession that almost paralyzed its service sector. The Euphrasian government announced a fiscal stimulus package of $15,000 billion to boost economic growth.
Answers (1)
Soar Incorporated is considering eliminating its mountain bike division, which reported an operating loss for the recent year of $4,000. The division sales for the year were $1,058,000 and the variable costs were $861,000.
Answers (1)