Review these resources:

• Minimum Wage Laws and Unintended Consequences video transcript at https://blog.hillsdale.edu/dialogues/minimum-wage-laws-and-unintended-consequencesLinks to an external site. (video transcript)
• The Unintended Consequences of Raising Minimum Wage to $15 at https://www.forbes.com/sites/jackkelly/2019/07/10/the-unintended-consequences-of-the-15-minimum-wage/?sh=10ce19a9e4a7Links to an external site.

Based on economic theory, when the government raises the federal minimum wage rate how is employment impacted? Many will ask, why can't businesses raise prices to cover the increase of the wage rate?

Explain and graph the unintended consequences (supply and demand of labor) of increasing the federal minimum wage rate, and explain and graph the unintended consequences of raising prices of goods and services (supply and demand for goods and services).

Review "The Minimum Wage" on p. 117 of the text. As you may know, this is a "hot topic" now in the White House, the Congress, and on national TV with many "famous" economists.

How is the topic of the minimum wage being discussed by Congress? Do you think there should be an increase in the minimum wage? How do you think it would affect unemployment?