When there are more workers available than jobs, the market can get some of them to work for ________.
A)more than the normal rate
B)extra benefits
C)less than the normal rate
D)product market competition
E)fewer breaks

Question

Quizplus · Accepted Answer

When there are more workers than jobs available, employers have more options to choose from and may be able to pay workers less than the normal rate. This is because workers are competing for a limited number of jobs, creating a surplus of labor and driving down wages. This is known as a buyer's market in labor economics.

When There Are More Workers Available Than Jobs, the Market