minimum wage increases to $20/hr, what do we expect to see happen to the employers demand for workers…

minimum wage increases to $20/hr, what do we expect to see happen to the employers demand for workers? demand for workers will increase because companies can afford to pay them. demand for workers will stay the same. demand for workers will decrease, as $20/hr can be hard to cover for businesses. demand for workers will be unchanged.

minimum wage increases to $20/hr, what do we expect to see happen to the employers demand for workers? demand for workers will increase because companies can afford to pay them. demand for workers will stay the same. demand for workers will decrease, as $20/hr can be hard to cover for businesses. demand for workers will be unchanged.

Answer

Brief Explanations:

According to the law of demand in economics, when the price (wage in this case) of labor increases, ceteris paribus, the quantity demanded of labor (employers' demand for workers) will decrease. Higher wages increase the cost of production for businesses, making it more expensive to hire workers, so they will demand fewer workers.

Answer:

Demand for workers will decrease, as $20/hr can be hard to cover for businesses.