Economic Costs and Benefits of Introducing Minimum Wage in a Essay

economical Costs and Benefits of Introducing Minimum Wage in a Competitive Labour Market - Essay pillow slipGiven that the parents are well educated, it is also expected that their children with have the equal opportunity for a expert education. Aside from biological and cultural factors, industrialization has been pointed as the main cause of inequality which started between the kitchen-gardening and the industrial sectors. Industrialization can lead to a lesser demand for human resources. Therefore, increase in competition among the workers is possible. In line with this, the unequal resources such as the access to education between the bountiful and the less fortunate plurality moderateed to a wider gap on the distribution of wealth between the deuce sectors of the society. Using the law of supply and demand, this study will examine the economic costs and benefits of introducing token(prenominal) occupy at bottom a competitive labor market. Eventually, whether or not th ere will be whatever changes in the economic cost and benefit analysis will be answered given that the only employer within the labor market is the monopsony. Minimum wage is referring to the minimum hourly, daily, or monthly wage wherein employers are compulsory to pay the workers in exchange for their service. Specifically, in the UK, the minimum wage is 5.93 per hour (BBC News 2010). Normally, the government implements the minimum wage law in order to protect the socio-economic welfare of the workers from abusive employers. As a result of implementing a minimum wage law, workers could enjoy the benefit of improving their standard of living by in truth removing poverty from the lives of the people (Daniel 2010 Filion 2009). Since employed individuals will be able to receive a minimum wage, these people will be able to enjoy the benefit of spending more money on get their preferred basic commodities which are necessary in order to stimulate the national and international economi c growth (Daniel 2010).