Over two years, many qualified veterinary nurses leave a rural region to work for veterinary practices in a nearby city, where pay is higher. The number of animals that practices in the rural region treat stays the same.
Why are veterinary nurses' wages in the rural region likely to rise?
The supply of veterinary nurses has fallen, creating an excess demand for them at the old wage
Practices in the region now need fewer veterinary nurses, so they can afford to pay each one more
The nurses who leave create an excess supply of labour, which bids the wage in the region up
Higher pay in the city has raised practices' demand for veterinary nurses in the rural region
149 exam-style questions on AQA GCSE Economics 1.5 Competitive and concentrated markets, covering 1.5.1a The range of market structures, 1.5.1b Distinguishing between market structures, 1.5.2a Characteristics of a competitive market, 1.5.2b How producers operate in competitive markets, 1.5.2c The economic impact of competition, 1.5.3a Characteristics of a non-competitive market, 1.5.3b How producers operate in non-competitive markets, 1.5.3c Monopoly and oligopoly, 1.5.4a The labour market and wage determination, and 1.5.4b Gross and net pay. Each one has a worked solution and a mark scheme showing where the marks go.