Other things being equal, if the quantity of labour supplied is less than the quantity of labour demanded, wages will tend to fall.

Name: Other things being equal, if the quantity of labour supplied is less than the quantity of labour demanded, wages will tend to fall.
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Question

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If the quantity of labour supplied is less than the quantity of labour demanded, it is a situation of a labor shortage. In such a situation, wages are likely to rise rather than fall as employers compete to attract workers.

Other Things Being Equal, If the Quantity of Labour Supplied