MGMT 104 Chapter Notes - Chapter 2: Unemployment Benefits, Demand Curve, Real Wages
Document Summary
The key is to create the right amount of incentive so there is the right amount of labor and capital employed at the right place and time. Labor market- the market that allocates workers to jobs and coordinates employment decisions. National labor market- buyers and sellers existing throughout the entire nation. Local labor market- buyers and sellers existing and searching only locally (e. g. , data entry clerks, auto mechanics) You can simultaneously be in multiple markets, which means the labor markets are interrelated. Some labor markets have strict rules, especially if they are represented by a union (e. g. , companies must hire from a list of eligible union members) or government. Internal labor market- when a formal set of rules and procedures guides and constrains the employment relationship within a firm. Labor force- everyone over 16 who are employed, actively seeking work, or are expecting recall from a layoff. Unemployed- those i(cid:374) the la(cid:271)o(cid:396) fo(cid:396)(cid:272)e (cid:449)ho a(cid:396)e(cid:374)"t e(cid:373)plo(cid:455)ed fo(cid:396) pa(cid:455)
