Price Floor, Income Taxes, and Legalizing Drugs ( December 2nd, 2011 )

Price Floor is a good example for the minimum wage. Since there is more people working for that firm, they would want a certain amount needed to produce the maximum for the job, and the rest of the workers would be a surplus. The next workers that they would have to get would have to become better workers than the previous ones hired due the expectations from workers increasing.

• It allows firms to hire less workers since it costs more and more to hire each one. Workers would then get less employed and more would want to be hired but less would want the opportunity to.

It would result to the same outcomes as the price ceiling.
The better option is to tax workers and earn income tax instead of using the minimum wage for the workers.

Legalizing the drugs would not reduce the drugs produced on a smaller level. It would become multi scaled where markets and firms would try to produce them to buyers in different ways that they can appreciate the drugs. Yes, it would be beneficial for the market as a whole and eliminate the black market of illegal drugs but distribution of harmful drugs can have a dangerous effect on young ones who can be exposed to these drugs.