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Unformatted text preview: Some companies did pay out the money needed, but some paid it out in other ways (Smiley, 2008). Some steel industries paid out remaining Social Security taxes by giving bonuses and raising the hourly pay rate (Smiley, 2008). As these three policies came together, real hourly labor costs jumped without corresponding increases in demand or prices, and firms responded by reducing production and laying off employees (Smiley, 2008). The marketing industry took the biggest hit with the supply and demand of labor during the Great Depression. References Michelle, H. (2006, September). The Laws of Supply and Demand, Classical Economists, and the Great Depression. Retrieved 2010, from Associated Content: http://www.associatedcontent.com/article/57112/the_laws_of_supply_and_demand_classical.html? singlepage=true&cat=3 Smiley, G. (2008). Great Depression. Retrieved September 2010, from Library of Economics and Liberty: http://www.econlib.org/library/Enc/GreatDepression.html...
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This note was uploaded on 07/13/2011 for the course ECONOMICS 102 taught by Professor Hynes during the Spring '11 term at Kaplan University.
- Spring '11
- Supply And Demand