Question

Which of the following statements about the minimum wage is not accurate?

1) The first minimum-wage was set at $0.25 per hour in 1930
2) The minimum wage was established by the Fair Labor Standards Act
3) When adjusted for inflation, the minimum wage had the most purchasing power in 1968
4) When expressed as a percentage of the average manufacturing wage, the minimum wage reached its peak in 1988

Answer 1

The inaccurate statement about the minimum wage is that it was first set at $0.25 per hour in 1930; the Fair Labor Standards Act, which established the minimum wage, was not enacted until 1938.

Step-by-step explanation:

The statement about the minimum wage that is not accurate is: 'The first minimum wage was set at $0.25 per hour in 1930'. The Fair Labor Standards Act (FLSA), which established the minimum wage, was not passed until 1938.

Regarding the other options, the FLSA did indeed establish the minimum wage and when adjusted for inflation (real minimum wage), the minimum wage did have the most purchasing power in 1968. However, there is no data provided to affirm or refute that the minimum wage, when expressed as a percentage of the average manufacturing wage, reached its peak in 1988.