A minimum wage that is below the equilibrium wage rate does not raise unemployment.

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J Lardizabal Family · Accepted Answer

Final Answer : True, Explanation :  A minimum wage set below the equilibrium wage rate does not raise unemployment because it is already lower than what employers are willing to pay and what workers are willing to accept, thus it does not interfere with the labor market equilibrium.

A minimum wage that is below the equilibrium wage rate does not raise unemployment.

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