Question
Case 3 (a): In 2018, Government of Bangladesh declared a new minimum wage law for RMG sector. According to the new minimum wage law a
Case 3 (a): In 2018, Government of Bangladesh declared a new minimum wage law for RMG sector. According to the new minimum wage law a garment factory management must pay minimum 8,000 taka per worker. However, a majority of factory owners claimed that "the increase in wage is significantly higher when compared to the current level of workers productivity". If the claim is true, graphically show the expected consequence in terms of employment in this sector.
Case 3 (b): On the other hand, a number of garments owner who produce sweater installed 'Jacquard' machine - although the machine helped to improve production capacity at firm level and ensured business growth - a significant number of workers lost job due to that. Given the context, what type of unemployment it may induce? Also argue logically, how introduction of such automation may or may not (argue from both sides) lead to 'jobless growth' phenomena in Bangladesh economy?
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