{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Labor Economics Notes

Labor Economics Notes - Labor Economics Chapter 1 Workers...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Labor Economics Chapter 1 Workers are trying to find the best jobs. Workers are trying to sell their labor at the highest price. Firms are trying to make money. Firms are trying to buy labor at the lowest price. Three leading actors in the labor market o Workers o Firms o Government Labor Supply Curve (Worker)- upward sloping curve which shows that workers who want to maximize their well-being tend to supply more time and more effort and as a result, have a higher payoff. If the firm will pay more their will be more workers willing to supply their services. The higher the wage that is being offered, the larger the labor supplied. Labor Demand Curve (Firm)- labor demand is derived from the desires of consumers. Firms want to maximize profits so they hire and fire in order to fit consumer needs. Firms want to hire many workers when labor is cheap but refrain from hiring when labor is expensive. So the curve is downward sloping.
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern