1.2. As explained in Chapter 6, a minimum-wage law distorts the market for low-wage labor. To reduce...
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1.2. As explained in Chapter 6, a minimum-wage law distorts the market for low-wage labor. To reduce this distortion, some economists advocate a two-tiered minimum-wage system, with a regular minimum wage for adult workers and a lower, “sub-minimum” wage for teenage workers. Give two reasons why a single minimum wage might distort the labor market for teenage workers more than it would the market for adult workers.
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