Question

select the correct answer.
which statement is false?
a. a society accepts minimum wage laws as a method of determining wages.
b. the market value of a good determines wages.
c. the quality of a good determines wages.
d. employee productivity determines wages.
e. the price floor determines the minimum wage.

Explanation:

• Option A: Minimum wage laws are a common societal method to set wage floors, so this is true.
• Option B: Market value of goods can influence wages (e.g., industries with high - value goods may pay more), so this is a valid factor.
• Option C: The quality of a good is not a direct determinant of wages. Wages are more related to factors like productivity, market forces, and legal regulations (like minimum wage laws) rather than the quality of the goods a business produces.
• Option D: Employee productivity is a key factor in determining wages (more productive employees often earn more), so this is true.
• Option E: Minimum wage is a price floor in the labor market, so the price floor concept is related to minimum wage determination, and this is true.

Answer:

C. The quality of a good determines wages.