How this changes in the minimum wage could possibly affect

Question

Task: Individual Report you should answer the question in report form with introduction, main body and conclusion.

The chancellor said employers would be forced to pay staff a minimum of £7.20 an hour from next April 2016, and raise wages by 6% a year on average to around £9 an hour by the end of the year 2020. 1. How this changes in the minimum wage, could possibly affect the unemployment rate? 2. What will be the macroeconomic effects, of minimum wage change in the economy?

Word Limit: 1500 words.

Answer 1

In an around 1500 words paper in which you have to perform the following tasks: Task: Prepare a report in which you must answer the question in report from having introduction, main body and conclusion. The chancellor state employers would be forced to pay staff a minimum of £7.20 an hour from next April 2016, and increases wages via 6% a year on average to around £9 an hour by the end of the year 2020. Q1. Explain how this changes in the minimum pay, could possibly influence the unemployment rate? Q2. Illustrate what will be the macroeconomic consequences, of minimum pay change in the economy?