True or false: a minimum wage above $10 per hour is not a binding minimum wage in this market. (economists call a minimum wage that prevents the labor market from reaching equilibrium a binding minimum wage.)

a. True

b. False

The given statement is False. In order to bind the labor markets so that equilibrium is not reached, one has to set the minimum wages above $10. Hence when the wage is set below the minimum wage then it will not be binding and any minimum wage set above the minimum wage will be a binding wage.