The purpose of the minimum wage was
to stabilize the post-depression economy and protect the workers in the labor force
. The minimum wage was designed to create a minimum standard of living to protect the health and well-being of employees.
What is the purpose of minimum wage laws quizlet?
2 Its purpose was
to establish minimum wage and overtime pay requirements and to restrict the use of child labor
. Both federal and state laws and regulations govern the area of wages and hours of employment. The principal federal statute is the Fair Labor Standards Act of 1938 (FLSA).
What does the minimum wage do quizlet?
The Minimum Wage is
the lowest wage that employers can legally pay workers
. Thus, it is a price floor. The FLSA also includes provisions mandating time and one-half overtime pay and restrictions on the use of child labor.
Does minimum wage help or hurt the economy quizlet?
Not true
: Minimum wage increases have little to no negative effect on employment as shown in independent studies from economists across the country. Academic research also has shown that higher wages sharply reduce employee turnover which can reduce employment and training costs.
What is a minimum wage worker?
A minimum wage is
the lowest wage per hour that a worker may be paid
, as mandated by federal law. It is a legally mandated price floor on hourly wages, below which non-exempt workers may not be offered or accept a job.
What was minimum wage in 2020?
| State 2020 Minimum Wage 2021 Minimum Wage | Georgia $5.15 (Employers subject to Fair Labor Standards Act must pay the $7.25 Federal minimum wage.) $5.15 (Employers subject to the Fair Labor Standards Act must pay the $7.25 Federal minimum wage) | Hawaii $10.10 $10.10 | Idaho $7.25 $7.25 | Illinois $10.00 $11.00 |
|---|
Who is subject to federal minimum wage?
To whom does the minimum wage apply? The minimum wage law (the FLSA) applies to
employees of enterprises that have annual gross volume of sales or business done of at least $500,000
.
What is the effect of minimum wage laws on unemployment quizlet?
what are the implications on the minimum-wage laws regarding unemployment? By raising the wage of unskilled and inexperienced workers above the equilibrium level, minimum-wage laws
raise the quantity of labor supplied and reduce the quantity demanded
. The resulting surplus of labor represents unemployment.
Is the current federal minimum wage?
The federal minimum wage for covered nonexempt employees is
$7.25 per hour
. Many states also have minimum wage laws. In cases where an employee is subject to both the state and federal minimum wage laws, the employee is entitled to the higher of the two minimum wages.
What is the effect of an increase in the minimum wage in the labor market an increase in the minimum wage?
An increase in the minimum wage tends to have the following effects:
decreases the number of workers obtaining jobs while increasing the number of workers seeking jobs
. The supply of labor curve relates the quantity of labor supplied to the: wage rate.
What are some exceptions to the federal minimum wage?
Federal law provides minimum wage exceptions under specific circumstances for (1)
workers with disabilities
, (2) full-time students, (3) employees under 20 years old in their first 90 consecutive days of employment, (4) tipped employees, (5) student learners, (6) apprentices, and (7) messengers.
Why do some people oppose raising the minimum wage quizlet?
More than half of all businesses who pay minimum wage say they would significantly slow their hiring if the federal wage is raised to $10.10 per hour” (CNBC). Since businesses would have to pay more in salaries, they would hire less, or not hire at all. …
Increasing minimum wage will increase poverty
.
What are the effects of a minimum wage set below the equilibrium wage quizlet?
if it is set below the equilibrium rent.
When a minimum wage is inefficient, the firms’ surplus and workers’ surplus shrink, a deadweight loss arises, and resources are lost in job search
.
What is full time minimum wage?
What is the current national minimum wage? The national minimum wage is currently
$20.33 per hour
or $772.60 per 38 hour week (before tax). Casual employees covered by the national minimum wage also get at least a 25% casual loading. Award and agreement free juniors get paid a percentage of the national minimum wage.
What is an example of minimum wage?
| State State Minimum Wage | California $13.00 (employers with 25 or fewer employees) $14.00 (employers with more than 25 employees) | Colorado $12.32 | Connecticut $12.00 ($13.00 effective August 1, 2021) | D.C. $15.00 ($15.20 effective July 1, 2021) |
|---|
How many people make less than 20 dollars an hour?
The chart, shown above, shows that
19%
of workers make less than $12.50 per hour, 32% of workers make between $12.50 and $20 per hour, 30% make between $20 and $30 an hour, 14% make between $30 and $45 per hour, and 5% make over $45 an hour.
