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# Teenagers are often priced out of the labor market

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Manager
Joined: 26 Oct 2006
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Teenagers are often priced out of the labor market [#permalink]

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09 Mar 2011, 20:08
Teenagers are often priced out of the labor market by the government-mandated minimum-wage level because employers cannot afford to pay that much for extra help. Therefore, if Congress institutes a subminimum wage, a new lower legal wage for teenagers, the teenage unemployment rate, which has been rising since 1960, will no longer increase.

Which of the following, if true, would most weaken the argument above?

(A) Since 1960 the teenage unemployment rate has risen when the minimum wage has risen.
(B) Since 1960 the teenage unemployment rate has risen even when the minimum wage remained constant.
(C) Employers often hire extra help during holiday and warm weather seasons.
(D) The teenage unemployment rate rose more quickly in the 1970’s than it did in the 1960’s.
(E) The teenage unemployment rate has occasionally declined in the years since 1960.
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Senior Manager
Joined: 18 Oct 2010
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Re: Teenagers are often priced out of the labor market [#permalink]

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11 Mar 2011, 17:02
Manager
Joined: 05 Jan 2011
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Re: Teenagers are often priced out of the labor market [#permalink]

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15 Mar 2011, 21:54
dips wrote:
Teenagers are often priced out of the labor market by the government-mandated minimum-wage level because employers cannot afford to pay that much for extra help. Therefore, if Congress institutes a subminimum wage, a new lower legal wage for teenagers, the teenage unemployment rate, which has been rising since 1960, will no longer increase.

Which of the following, if true, would most weaken the argument above?

(A) Since 1960 the teenage unemployment rate has risen when the minimum wage has risen.
(B) Since 1960 the teenage unemployment rate has risen even when the minimum wage remained constant.
(C) Employers often hire extra help during holiday and warm weather seasons.
(D) The teenage unemployment rate rose more quickly in the 1970’s than it did in the 1960’s.
(E) The teenage unemployment rate has occasionally declined in the years since 1960.

Its b... shows without cause(wage...) there is an effect (i.e rising unemployement rate). Thus weakens an argument
Senior Manager
Joined: 09 Feb 2011
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Concentration: General Management, Social Entrepreneurship
Schools: HBS '14 (A)
GMAT 1: 770 Q50 V47
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Kudos [?]: 195 [0], given: 13

Re: Teenagers are often priced out of the labor market [#permalink]

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15 Mar 2011, 21:58
A supports, C & D are irrelevant to the argument in question, E is inconsistent with question stem.
Re: Teenagers are often priced out of the labor market   [#permalink] 15 Mar 2011, 21:58
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