Question on: JAMB Economics - 2024

The diagram below shows the relationship between:

A

minimum wage and unemployment

B

equilibrium wage rate and Phillips curve

C

W4 and W3

D

wage rate and unemployment

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Correct Option: D

The question refers to a diagram that is not provided. However, based on the options, the most likely relationship shown is the inverse relationship between wage rate and unemployment.

A higher wage rate can lead to higher unemployment because firms may reduce labor demand, while a lower wage rate may reduce unemployment.

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