Which of the following is a drawback of a minimum wage in terms of social policy?...
Which of the following is a drawback of a minimum wage in terms of social policy?
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It places the employer at an economic disadvantage relative to employers that pay the living wage. |
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It tends to be lower than the earnings required for a full-time worker to rise above the poverty level. |
Homework Answers
Answer : It tends to be lower than the earnings required for a full-time workers to rise above the poverty level.
Note : If the employee receives only the minimum wages and has no other income source, can increase the poverty rate as earnings received from it are usually lower than the full time workers.
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