Bellringer (White Boards) Today’s objective: identify direct and indirect effects of price floors. 1.Are you currently employed? 2.What do you think the current minimum wage is in Arizona? 3.Name 3 jobs you could work right now as a high school student? 04/28/1 4
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Bellringer (White Boards)Today’s objective: identify direct and indirect effects of price floors.
1. Are you currently employed?2. What do you think the current minimum wage
is in Arizona?3. Name 3 jobs you could work right now as a high
school student?
04/28/14
Price Ceiling – In your notes
Price Ceiling – a legal maximum price (limit) that may be charged for a certain good or
service.
Price floor – In your notes
Price floor– a legal minimum price - goods or services may not be sold below this price.
Notes – take out your price ceiling notes and
continue here…A common example of a price floor is minimum wage…
There are generally two types of people looking for jobs.
1. Skilled person – (educated / experienced)2. Unskilled person – (little to no experience)
Price FloorPrice floors are more common than price ceilings.
When might low prices be a problem for a farmer?
Jobs after school?
• Imagine Congressman Grijalva is considering raising the federal minimum wage next month.
• Write a formal business letter to Congressman Grijalva using the provided handout as a guide.
• In three paragraphs support your argument if you are for or against raising minimum wage and why.