Identified the introduction of a national minimum


In its 2014 election manifesto the ruling party identified the introduction of a national minimum wage as one of the key mechanisms to reduce income inequality. In line with the manifesto, the President mentioned in his state of the nation address that the social partners need to deliberate on wage inequality. He then committed the government to the investigation into the national minimum wage as an income inequality reduction mechanism. If South Africa does indeed adopt the minimum wage, what will be the impact on job creation? Will the minimum wage implementation make a marked improvement on our inequality as measured by the Gini coefficient, or not. Substantiate your answer by looking at international experience of countries (e.g. Brazil) which have adopted the national minimum wage.

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Microeconomics: Identified the introduction of a national minimum
Reference No:- TGS0946055

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