Question

Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the...

Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the competing theories . Which seems more convincing to you? Explain your answer.

Homework Answers

Answer #1

US has demonstrated elasticity in supply of labor as increase in wage rate has caused higher demand for job opportunities and increase labor supply arithmetically.

However, competitive theories suggest higher elasticity due to rise in wages causes employers to layoff massively and thus creates unemployment which reduces the overall demand in markets.

The competitive theory is more practical as firms incur losses due to rise in wages and thus layoff redundant workers causing unemployment to rise considerably and reducing overall demand.

PLEASE UPVOTE INCASE YOU LIKED THE ANSWER WILL BE ENCOURAGING FOR US THANKYOU VERY MUCH ALL THE BEST IN FUTURE

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the...
Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the competing theories. Which seems more convincing to you? Explain your answer.
Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the...
Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the competing theories. Which seems more convincing to you? Explain your answer.
1. Is the United States’ labor supply more inelastic or more elastic? Briefly summarize the competing...
1. Is the United States’ labor supply more inelastic or more elastic? Briefly summarize the competing theories. 2. The demand for energy drinks is more elastic than the demand for milk. Would a tax on energy drinks or a tax on milk have a larger deadweight loss? Explain. 3. You find that your paycheck for the year is higher this year than last. Does that mean that your real income has increased? Explain carefully. 4. For the economy as a...
Which of the following statements is true? a) Supply and demand tend to be much more...
Which of the following statements is true? a) Supply and demand tend to be much more elastic in the long run than in the short run. b) Supply is elastic in the short run, whereas demand is elastic only in the long run. c) Supply and demand tend to be much more inelastic in the long run than in the short run. d) Supply is inelastic in the short run, whereas demand is inelastic only in the long run.
Is the demand curve for gasoline in the United States elastic or inelastic? Always? At all...
Is the demand curve for gasoline in the United States elastic or inelastic? Always? At all prices? What conditions would make it change?
1. Price Elastic or Inelastic Good a.What is an example of a product (or group of...
1. Price Elastic or Inelastic Good a.What is an example of a product (or group of products) which you buy or sell whose demand is price inelastic (or, if you prefer, price elastic). In your answer, be sure to state carefully what it means for demand to be "price inelastic" (or price elastic). b. What is it about this product or these products that makes either you or buyers in general TEND to continue to purchase it (if you’re thinking...
How does one determine whether demand/supply is elastic, inelastic, or unit elastic?
How does one determine whether demand/supply is elastic, inelastic, or unit elastic?
1. When demand is less elastic (more inelastic) than supply, the tax burden falls primarily on...
1. When demand is less elastic (more inelastic) than supply, the tax burden falls primarily on consumers, why 2. When demand is more elastic than supply, as shown in, the tax burden falls primarily on producers. What is the reason that products such as alcohol, cigarettes, and gasoline are taxed so heavily? Support your answer by above mentioned facts
Are cigarettes relatively demand elastic or demand inelastic? Explain using the determinants of price elasticity of...
Are cigarettes relatively demand elastic or demand inelastic? Explain using the determinants of price elasticity of demand. Does the burden of cigarette taxes fall more heavily on buyers or sellers? Explain. Do you think that higher cigarette taxes will deter more people from smoking?
Explain in THREE (3) paragraphs ? Are market supply curves typically more elastic in the short...
Explain in THREE (3) paragraphs ? Are market supply curves typically more elastic in the short run or in the long run? Explain your answer and support with concepts from the text.