Suppose the government imposes a price floor in the labor market (minimum wage legislation). In your answer, be sure to examine the potential impact on unemployment and the potential impact on small businesses. a) what happens to the amount of market exchange, i.e., what happens to the number of workers actually hired. Explain carefully. b) does the regulation benefit the group it is meant to? Explain  c) is result outcome efficient? Explain

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Suppose the government imposes a price floor in the labor market (minimum wage legislation). In your answer, be sure to examine the potential impact on unemployment and the potential impact on small businesses.

a) what happens to the amount of market exchange, i.e., what happens to the number of workers actually hired. Explain carefully.

b) does the regulation benefit the group it is meant to? Explain 

c) is result outcome efficient? Explain 

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