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Positive economic profits after doing so

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Assume that the minimum wage has just been increased by 35%. Is the below true, false or uncertain. Explain with specific economic concept discussed in class. If a company cannot increase the prices of the product it sells, it will absorb the wage increase (and continue operating and employing workers at a higher wage) as long as it can still earn positive economic profits after doing so.

Reference no: EM131902606

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