If a country has a surplus of labor,then

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Quizplus · Accepted Answer

When a country has a surplus of labor, it means there are more workers than available jobs. This leads to a decrease in labor rates, as workers are willing to accept lower wages in order to secure employment. In such a scenario, labor-intensive methods of manufacturing are appropriate as they require a large workforce. Also, because labor is inexpensive, it makes sense to utilize a labor-intensive approach rather than investing in expensive high-technology machinery.

If a Country Has a Surplus of Labor,then