In 2000, a proposal was made in Santa Monica, California, to raise the minimum wage in the
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In 2000, a proposal was made in Santa Monica, California, to raise the minimum wage in the hotel and shopping district to a “living” wage of $10.69 per hour. Predict the effect of such legislation on unemployment in the hotel and shopping industries in Santa Monica. What would you expect to happen to the unemployment rate in neighboring areas?
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