Suppose that the labor market for clerical workers in a major city includes 10,000 employers and 100,000 workers.The model that best fits this situation is:

Question

Quizplus · Accepted Answer

The model that best fits a situation with many employers (10,000) and many workers (100,000) is perfect competition. This is because perfect competition assumes a market with many buyers and sellers, where no single entity has market power to set prices, which aligns with the scenario described.

Suppose That the Labor Market for Clerical Workers in a Major