So strong is this indirect effect, on his calculations, that the gradual fall in the relativevalue of America's minimum wage over the past 20 years is capable of explaining 1.5 percentage points of the fall in the country's equilibrium rate of unemployment over the same period.
Wal-Mart may improve its sales by offering free shipping, but if there is no minimum purchase amount, small value purchases could lead to the retailer bearing higher expenses relative to sales.