In the basic competitive model of labor markets,it is assumed that:
A)individuals are not identical in training and skills,and jobs are not identical.
B)not all individuals are identical in training and skills,but all jobs are identical.
C)individuals are identical in training and skills,but not all jobs are identical.
D)individuals are identical in training and skills,and all jobs are identical.

Question

Quizplus · Accepted Answer

The basic competitive model of labor markets assumes that individuals are identical in terms of training and skills, and all jobs are also identical. This means that everyone in the labor market has the same level of productivity, so employers can hire anyone and everyone is willing to work for the same wage. In reality, of course, this assumption is not accurate as individuals have different levels of skills and experience, and there are different types of jobs with varying levels of productivity. However, the basic competitive model provides a useful starting point for understanding the dynamics of labor markets.

In the Basic Competitive Model of Labor Markets,it Is Assumed