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  • 24-10-2020
  • Social Studies
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What clears the market of a binding minimum wage

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Аноним Аноним
  • 24-10-2020

The answer is in the explanation!

Explanation:

binding minimum wage is a price floor above the current equilibrium wage, WE. At $10 per hour, the number of workers willing to supply their labor (SSR) is greater than the demand for workers (DSR). The result is a surplus of workers (which we recognize as unemployment). Since the supply of workers and demand for workers both become more elastic in the long run, unemployment expands (SLR > DLR). (if you find this helpful, plz mark as brainliest)

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