or drop out of the market entirely. Meanwhile, suppliers find they are guaranteed a new, higher price than they were charging before, but with fewer willing buyers. Taken together, these effects mean there is now an excess supply (known as a "surplus") of the product in the market to maintain the price floor over the long term. The equilibrium price is determined when the quantity demanded is equal to the quantity supplied. Further, the effect of mandating a higher price transfers some of the consumer surplus to producer surplus, while creating a deadweight loss as the price moves upward from the equilibrium price. A price floor may lead to market failure if the market is not able to allocate scarce resources in an efficient manner. Minimum wage An example of a price floor is minimum wage laws, where the government sets out the minimum hourly rate that can be paid for labour. In this case, the wage is the price of labour, and employees are the suppliers of labor and the company is the consumer of employees' labour. When the minimum wage is set above the equilibrium market price for unskilled or low-skilled labour, employers hire fewer workers. Employers may cut their use of labour by switching to a "self-serve" model in which customers do an action previously done by staff (e.g., self-serve gas stations); or buying machines, computers or robots to do part or all of employees' jobs (e.g., automated teller machines in banks, automated ticket kiosks in parking garages). Consequentially, unemployment is created (more people are looking for jobs than there are jobs available). At the same time, a minimum wage above the equilibrium wage would allow (or entice) more people to enter the labor market because of the higher salary. The result is a surplus in the amount of labor available. The equilibrium wage for workers would be dependent upon their skill sets along with market conditions. Agriculture Previously, price floors in agriculture have been common in Europe. Since the 1999s, the EU has used a "softer" method: if the price falls below an intervention price, the EU buys enough of the product that the decrease in supply raises the price to the intervention price level. As a result of this, "butter mountains" of surplus products in EU warehouses have sometimes resulted. Canada In Canada, supply management is a national agricultural policy framework that coordinates the supply