Wage Rate

[Name of the Institute]Wage Rate

Context of Minimum Wage Rate

The term minimum wage rate, mainly states, the (least) minimum or in economic terms floor price, which is set by the government for the labours in the local market. However, in order to show its effect, the wage rate ought to surpass the clearing price of the market. In this situation, the market demand of labour ought to match with the supply of labour (this means those people willing to pay their work force at the clearing price and those employers who are ready to wage that price). However, in theory, minimum ...