Disposable personal income is defined as A) personal income ...

[Ebrown]

Disposable personal income is defined as
 
  A) personal income less personal taxes.
  B) personal income less personal taxes plus indirect sales taxes.
  C) personal income less transfer payments plus personal taxes.
  D) personal income less depreciation.

Question 2

How will a government-imposed minimum wage affect the equilibrium level of employment in a competitive labor market and in a monopsony labor market?
 
  What will be an ideal response?

[Jossy]

Answer to Question 1

A

Answer to Question 2

In a competitive labor market, a minimum wage should reduce the equilibrium level of employment. In the case of a monopsony, imposing a minimum wage removes market power from the single firm and encourages the firm to hire more workers than it would otherwise.

[Ebrown]

Thank you

[Jossy]

No problemo