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QUESTION
FRBSF ECONOMIC LETTER 2015-37 December 21, 2015 The Effects of Minimum Wages on Employment BY DAVID NEUMARK The minimum wage has gained momentum...
Read the article “The effects of minimum wages on employment” and answer the questions below:
a) Through which channels does a binding minimum wage affect employment? Illustrate this effect with a diagram.
b) According to recent research what are the employment effects of minimum wages?
