Problem based on rise in the minimum wage


Problem:

The following article appeared on the front page of the Wall St Journal on April 17, 1998:

The public, by 79% to 17%, favors raising the minimum hourly wage by $1 to $6.15. But Princeton economist Alan Krueger, whose research helped win a rise in 1996, is "less confident" another boost so soon " will have as benign consequences" on jobs as the last one seemed to have.

What research did Krueger use to "help win" a rise in the minimum wage in 1996? What did his results show?

What were the "benign consequences" of the previous minimum wage hike?

Assuming that Krueger is correct, why is he "less confident" that a further boost in the minimum wage would have no adverse effects?

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Macroeconomics: Problem based on rise in the minimum wage
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