Minimum wage boosts low-paid workers' income

Steps:

• Recall minimum wage sets a legal floor on pay to combat poverty.
• Assess options for direct worker benefits versus firm responses.
• Eliminate A and B as they describe employer adjustments harming jobs.
• Confirm C shifts income but D provides core wage gain.

Why D is correct:

• Minimum wage law mandates higher pay for workers earning below the threshold, directly increasing their disposable income and reducing poverty.

Why the others are wrong:

• A: Encourages labor substitution, potentially reducing worker jobs.
• B: Implies employment ties to wage gaps, not a worker gain.
• C: Benefits labor broadly but doesn't specify low-paid workers' direct earnings rise.

Final answer: D