Question
1)Under what type of labor market can a minimum wage law increase (or in a special case even maximize) social welfare (i.e. consumer surplus and
1)Under what type of labor market can a minimum wage law increase (or in a special case even maximize) social welfare (i.e. consumer surplus and producer surplus)?How would this policy relate to shifting the balance of bargaining power between worker(s) and employer(s) in this scenario?
2)Under what type of apartment rental market (i.e. goods market) can a rent control law increase (or in a special case even maximize) social welfare (i.e. consumer surplus and producer surplus)?How would this policy relate to shifting the balance of bargaining power between renter(s) and landlord(s) in this scenario?
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