The use of the supply and demand model to analyze labor markets implicitly assumes that

Question

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The supply and demand model assumes that sellers (workers) have good knowledge about their opportunities in the labor market, which allows them to make informed decisions about where to offer their labor. This assumption is crucial for the model to function properly, as it relies on the idea that both buyers and sellers have enough information to make rational choices.

The Use of the Supply and Demand Model to Analyze