Card 1 of 20
Where is the wage in a job settled?
A
A worker producing more output per hour has higher productivity, which can increase the wage firms will pay.
B
Fewer legally or practically qualified people can do the job, restricting labour supply and raising the wage.
C
Where demand for labour meets supply of labour.
D
When machinery becomes cheaper, firms may substitute it for workers, reducing labour demand.
Card 1 of 20
2.7.2 Determination of wages Flashcards
20 flashcards on OCR GCSE Economics 2.7.2 Determination of wages: the key terms, formulae and calculations you need to recall for Component 01 and Component 02.