The Labour Market: Chapter 2

  • Created by: BenBE_19
  • Created on: 16-03-19 10:50
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  • The Labour Market: Chpt 2
    • Market Conditions
      • Demand
        • Derived
          • Stems from the demand from the good / service they provide
            • Consumers decide who's in work
      • Equilibrium Price
      • Supply
        • Dynamic Economy
      • Possibility of shortages and surpluses
      • Google Case Study
        • Inc in searches
          • Inc in demand
            • Inc in wages
    • Non price determinants of demand
      • Derived
        • Same as factors affecting demand for goods
          • IR ACIST Pop
            • Interest Rates
            • Advertising
            • Complementary Goods
            • Incomes
            • Substitutes
            • Tastes
            • Population
            • Plus Technology
              • Reduce dem for labour
                • Automation
                • Digitisation
                • Inc in potential to inc profits
                  • Machines Cheaper
                  • More reliable
                  • More ecficient
          • Plus Technology
            • Reduce dem for labour
              • Automation
              • Digitisation
              • Inc in potential to inc profits
                • Machines Cheaper
                • More reliable
                • More ecficient
    • Non price determinants of supply
      • Labour forms the biggest cost
        • Has the most influence on the supply of the product
      • Non financial aspects
      • Real wages in alternative jobs
      • Training requirements
      • Immigration levels and abilities
      • Emigration levels and abilities
      • Supply inc, real wages fall as much easier to get
    • Impact of Brexit
      • Immigrants
        • Inc demand for goods and services
          • NOT EQUAL
            • Low wages mean that demand is much lower.
              • Cheap labour
                • They cant afford to inc demand for expensive products
            • Benefits the middle class
              • Inc supply of labour
                • More people available
                  • Easier to replace
                    • Lower wages
                      • Lower costs
                        • Lower prices
                          • Inc in real wages for consumers
        • Put pressure on wages and make them fall due to an inc in the supply of labour
          • NOT EQUAL
            • Low wages mean that demand is much lower.
              • Cheap labour
                • They cant afford to inc demand for expensive products
            • Benefits the middle class
              • Inc supply of labour
                • More people available
                  • Easier to replace
                    • Lower wages
                      • Lower costs
                        • Lower prices
                          • Inc in real wages for consumers

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