gandalf_der_12te, 3 months ago The labor market is a market - that means it is regulated by supply and demand. Now, there’s a demand for workers. Now, think about what happens when the supply goes down - prices go up. In other words: If there are fewer workers on the labor market, that means the price for labor goes up, in other words: wages go up.
The labor market is a market - that means it is regulated by supply and demand.
Now, there’s a demand for workers.
Now, think about what happens when the supply goes down - prices go up.
In other words: If there are fewer workers on the labor market, that means the price for labor goes up, in other words: wages go up.