Question

When there is a decrease in the number of people in the labour market/workers, similar to that of the plague, how does technology help boost output? Please use a diagram to help me visualize it. Also with the decrease in the number of people, how did the economy behave? What were the significant events?

Answer 1

Technological change during the present time has led to an acquired a higher relative demand for skilled workers and acquired a lower relative demand for labors performing day to day activities. The use of laptops, computers, and machines has played an important role in driving variances in the wages of skilled workers. Technology can aid to organize the entire task with efficiency and effectiveness and also minimize the workers from taking unnecessary steps and accomplishing the task on time. There various factors that will affect the labor and labor market like immigration, labour union, unemployment, discrimination, and most important an inequality of income between the rich and poor people and society. For the developing economy up- gradation and innovation in technology can have many merits like the use of technology being the growth of a nation’s economy, reducing the cost of production, growth of GDP, development of new business, and communication. Overall, the economy will be developed.