Question

Labor Economic assignment :

1.Discuss the impact of Labor market discrimination on the overall economy.

2.Talk about the main forces of unemployment in any developing country.

3.Discuss the role of labor union particular for the yield of a country.

Answer 1

1.Discuss the impact of Labor market discrimination on the overall economy.

Ans ………………..

IMPACT OF LABOR MARKET DISCRIMINATION ON THE OVERALL ECONOMY

Consumer's who are charged relatively lesser price .Lower-income consumers may be "priced into the market" if the supplier is willing and able to charge them less.

Examples might include legal and medical services where charges are dependent on income levels.

Price is charged above the marginal cost.Consumer's lose because they are charged higher and consumer surplus is reduced.

Greater access to these services may yield external benefits (positive externalities) improving social welfare and equity. Drugs companies might justify selling products at inflated prices in higher-income countries because they can then sell the same drugs to patients in poorer countries.

Price discrimination benefits businesses through higher revenues and profits.A discriminating monopoly is extracting consumer surplus and turning it into supernormal profit/ producer surplus

Price discrimination also might be used as a predatory pricing tactic to harm competition at the supplier's level and increase a firm's market power in the long run - i.e. it can be illegal in some cases, and might be investigated by the competition authorities such as the Competition and Markets Authority (CMA).

In many cases, aggressive price discrimination is a means of business survival during a recession. An increase in total output resulting from selling extra units at a lower price might help a monopoly to exploit economies of scale thereby reducing long run average costs

2.Talk about the main forces of unemployment in any developing country.

Ans ……….

The share of the labor force that is jobless is referred to as unemployment rate. It rises or falls depending on the economic conditions.

The official unemployment rate in the United States is U-3. It defines unemployed people as those who are willing and available to work, and have actively sought work within the past four weeks. People who are temporarily employed ,

working part-time are considered as employed or those who perform at least 15 hours of unpaid family work.Thus, unemployment rate = Unemployed / Labor Force * 100.

3.Discuss the role of labor union particular for the yield of a country.

Ans…………..

Unions play an important role in the workplace. Some of the key roles include being able to resolve workplace issues by being a voice for employees and acting as a bargaining representative during bargaining negotiations. looking into suspected breaches of: workplace laws.

They help to negotiate for the welfare of labor.

They negotiate more favorable compensation terms for the labor.

They help bring more equitable rules applicable to all labor.

They put forth labor annual demands and compensation hikes.