In two months, the legal minimum wage in the country of Kirlandia will increase from five Kirlandic dollars (KD5.00) per hour to KD5.50 per hour. Opponents of this increase have argued that the resulting rise in wages will drive the inflation rate up. In fact its impact on wages will probably be negligible, since only a very small proportion of all Kirlandic workers are currently receiving less than KD5.50 per hour.
Which of the following, if true, most seriously weakens the argument?
(A) Most people in Kirlandia who are currently earning the minimum wage have been employed at their current jobs for less than a year
(B) Some firms in Kirlandia have paid workers considerably less than KD5.00 per hour, in violation of kirlandic employment regulation
(C) Many businesses hire trainees at or near the minimum wage but must reward trained workers by keeping their pay levels above the pay level of trainees.
(D) The greatest growth in Kirlandia's economy in recent years has been in those sectors where workers earn wages that tend to be much higher than the minimum wage.
(E) The current minimum wage is insufficient for a worker holding only one job to earn enough to support a family, even when working full time at that job.
Looking for your answers with explanations.
Wages in Kirlanda-Tricky CR Question
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P: Min wage increased for 5 to 5.5ph. Wages will not drive up inflation.
C : impact on wages is negligible.
A) Not relevant
B) Some firms have paid less that 5. So no significant impact. Strengthener.
C) Many businesses must reward trained workers by paying above min wage. So since min wage is going up, businesses have to pay more for their trained workers. So this is going to have impact, weakening the conclusion.
D) Not concerned about other sectors.
E) Not relevant.
C : impact on wages is negligible.
A) Not relevant
B) Some firms have paid less that 5. So no significant impact. Strengthener.
C) Many businesses must reward trained workers by paying above min wage. So since min wage is going up, businesses have to pay more for their trained workers. So this is going to have impact, weakening the conclusion.
D) Not concerned about other sectors.
E) Not relevant.
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OA is C
Conclusion: "There will be no impact on wages although the minimum wage in the country will increase from 5.00 to 5.50 per hour"
Evidence: "only a very small proportion of all Kirlandic workers are currently receiving less than KD5.50 per hour"
Assumption: The only impact of the new minimum wage will be at WAGES, but no other issue (such as cost of housing, for example)
We should look for something implying that there are MANY workers who are going to be affected by the new minimum wage, that is workers that are going to be paid more.
Conclusion: "There will be no impact on wages although the minimum wage in the country will increase from 5.00 to 5.50 per hour"
Evidence: "only a very small proportion of all Kirlandic workers are currently receiving less than KD5.50 per hour"
Assumption: The only impact of the new minimum wage will be at WAGES, but no other issue (such as cost of housing, for example)
We should look for something implying that there are MANY workers who are going to be affected by the new minimum wage, that is workers that are going to be paid more.