Question 4: The government regulation of the minimum wage is an attempt to reduce:

a. unemployment.

b. discrimination.

c. poverty.

d.standard of living.

Question

Question 4: The government regulation of the minimum wage is an attempt to reduce:

a. unemployment.

b. discrimination.

c. poverty.

d.standard of living.

BlackTom AI · Accepted Answer

The question asks about the purpose of government regulation of the minimum wage and presents four options. 
Option a: unemployment. One might argue that setting a higher wage floor could lead to unemployment if the wage is above the market-clearing level, since employers may hire fewer workers or substitute with automation. However, this option describes a potential side effect or consequence rather than the primary intention of minimum wage policy. The question is asking what the regulation is an attempt to reduce, not what negative outcomes it might have. 
Option b: discrimination. A minimum wage does not target discrimination directly; it sets a wage floor that applies to all workers regardless of characteristics. While it could interact with issues of equity, reducing discrimination is not the stated aim of minimum wage policy. 
Option c: poverty. The conventional rationale for minimum wage laws is to raise the earnings of the lowest-paid workers and thereby reduce poverty, especially among full-time workers who would otherwise earn low wages. This aligns with the policy objective of improving the income of those at the bottom of the wage distribution. 
Option d: standard of living. While a higher minimum wage can improve living standards for some workers, the term “standard of living” is broad and encompasses many factors beyond earnings, such as housing, health, and education. The regulation is more precisely aimed at reducing poverty through higher wages rather than broadly guaranteeing an elevated standard of living for all. 
In summary, the policy is best understood as a tool intended to lift the incomes of the lowest-paid workers and thereby address poverty, with potential side effects on employment and broader living conditions. The remaining options describe effects or goals that are not the primary stated objective of minimum wage regulation.

LA-ECON-0858-801-52570-202536 Government in the Economy

Question 4: The government regulation of the minimum wage is an attempt to reduce: a. unemployment. b. discrimination. c. poverty. d.standard of living.

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