Economics 0455 · IGCSE · Employment and unemployment

Employment and unemployment — practice question

Bus drivers are paid a wage of $ $15\,000 $ per year. The government brings in a national minimum wage. Under which circumstances will the greatest number of bus drivers lose their jobs because of the minimum wage?

  • Anational minimum wage $15\,000$; demand for bus travel increasing
  • Bnational minimum wage $15\,000$; demand for bus travel unchanged
  • Cnational minimum wage $18\,000$; demand for bus travel increasing
  • Dnational minimum wage $18\,000$; demand for bus travel unchanged

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