What is a direct consequence of higher unemployment when minimum wage is set above equilibrium?

When the minimum wage is set above the equilibrium wage, it creates a situation where the cost of labor exceeds what many employers are willing or able to pay. This imbalance leads to a surplus of labor, as the higher wage attracts more individuals to seek jobs, but employers reduce the number of positions they offer because they cannot sustain the higher costs.

As a result, more people are looking for work than there are jobs available, leading to higher unemployment. This concept is rooted in the basic principles of supply and demand, where a price floor, such as a minimum wage, can lead to market inefficiencies, including a surplus in labor—or, in simpler terms, too many workers chasing too few jobs.