what-is-the-effect-of-a-minimum-wage-law-on-a-monopsony-labor-market

Question

What is the effect of a minimum wage law on a monopsony labor market?

Accepted Answer

It can lead to increased wages and employment.

Answer

It has no effect on wages and employment.

Answer

It can lead to decreased wages and employment.

Answer

It can lead to increased wages but decreased employment.