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What best explains why the level of wages are largely determined by the law of supply and demand?
Wiki User
∙ 7y ago
People looking for jobs constitute the supply of labor. Firms looking for employees constitute the demand for labor. Clearly then if there is a large supply of labor available and not much demand, wages will be low. If there is a large demand for labor and a small supply, wages will be high.
Wiki User
∙ 14y ago
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Which of the following explains why scarcity is a basic fact of life?
demand will always be greater than supply
How are wages determined in a free market?
by the laws of supply and demand
What best explains why the law of supply and demand has an effect on labor market?
In the law of supply and demand the effect on the Labor Market is that labor is a commodity.Labor is a commodity
In what type of system is the price determined by supply and demand?
the market system!!!!
How are prices determined in a well functioning economy?
By simple supply and demand theory. The more demand, or the less supply, will lead to higher prices. The less demand, or more supply, will lead to lower prices.
What is the value of a good or service is determined by?
Value is determined by the demand and the supply
Which of the following explains why scarcity is a basic fact of life?
demand will always be greater than supply
How are wages determined in a free market?
by the laws of supply and demand
What best explains why the law of supply and demand has an effect on labor market?
In the law of supply and demand the effect on the Labor Market is that labor is a commodity.Labor is a commodity
How are stocks prices determined?
Supply and demand set stock prices.
In what type of system is the price determined by supply and demand?
the market system!!!!
How are prices determined in a well functioning economy?
By simple supply and demand theory. The more demand, or the less supply, will lead to higher prices. The less demand, or more supply, will lead to lower prices.
What law is illustrated in this diagram?
The diagram illustrates the law of supply and demand. It shows how the equilibrium price and quantity are determined by the intersection of the supply and demand curves.
How can price be determined in a free market economy?
In a perfect free-market economy, price is determined by supply and demand.
How does value of stocks come down?
The price of stocks is determined by the Demand and Supply theory. When there is a heavy demand for stocks and the supply is less then the prices go up. When there is a heavy supply of stocks and there is less demand then the prices go down.
Why do you have scarcity?
because its prise is determined by interaction between both demand and supply forces
Flexible exchange rates are determined by?
By the demand and supply of currencies in the global exchange market.
