A person's earnings depend on:

Question

Quizplus · Accepted Answer

The supply and demand for a person's labor greatly affect their earnings as it determines the value of the work they provide to employers. If there is a high demand for their skills and a low supply of labor with those skills, they may be able to negotiate higher wages. Conversely, if there is a surplus of people with those skills and little demand for their labor, their earnings may be low. The state of the economy and inflation may also have some influence, but not to the extent that supply and demand for labor do. Profit may also affect a person's earnings indirectly, as employers may be more willing to pay higher wages if they are making enough profit to support it, but it is not the main determining factor.

A Person's Earnings Depend On