Question

A. Who are the individuals that do well in changing labor markets?

	A.	The individuals who are most flexible in who they work for
	B.	Those who understand markets with scarce demand and high supply
	C.	Only those who are smartest with the best degrees and colleges
	D.	Those who understand markets with high demand and scarce supply

What are the main factors that are altering supply and demand in labor markets (select all that apply)

	A.	Technology companies that manipulate markets
	B.	Occupational licensing
	C.	Growth in global markets
	D.	Slower economic growth
	E.	Individuals who don't understand markets
	F.	Technology and special skills
	G.	Government intervention in markets

Answer 1

Answer-1. Correct option is ' A'

The individuals who are most flexible in who they work for. Flexibility in the work place allows employer and employee to make arrangements about working conditions that suit them. The help employees maintain a work and can help employers improve the productivity and efficiency of their business. Overall, a flexible work environment is beneficial to both employer and employee. Employees have more freedom to work in an environment that is conducive to increase their output and work rate while employer can benefit form a happier and harder working force.

Answer-2. Correct options are A, B, C, F and G

These are the main factors that are altering supply and demand in labour market:

1) TTechnology, trade affect labour market. Technological progress has led to a higher relative demand for skilled workers and a lower relative demand for workers performing routine activities.

2 ) Occupational licencing as a mendatory upfront investment of time for individuals to enter an occupation and characterize the equilibrium responses of labour market outcomes to licencing.

3 ) Technological advances that improve production efficiency will shift a supply curve to right. The cost of production goes down and consumers will demand more of the product at lower prices.

4) Globalization is clearly contributing to increased integration of labour markets and closing the wage gap between workers in advanced and developing economies, especially through the spread of technology.

5) Government tries to combat market inequities through regulation, texation and subsidies. Governments may also intervene in markets to promote general economic fairness maximizing social welfare is one of the most common and best understood reasons for government intervention.