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76-462: (Redirected from Earned ) [REDACTED] Look up earning in Wiktionary, the free dictionary. Earning can refer to: Labour (economics) Earnings of a company Merit See also [ edit ] Earn (disambiguation) Topics referred to by the same term [REDACTED] This disambiguation page lists articles associated with

152-404: A family, like child care work, or actual habitual daily labour that is not monetarily rewarded, like working the fields. Unpaid workers have zero earnings , and although their work is valuable, it is hard to estimate its true value. The controversial debate still stands. Men and women tend to work in different areas of the economy, regardless of whether their work is paid or unpaid. Women focus on

228-485: A high income or wage rate regardless of the marginal utility from increased consumption or specific economic goals. Workforce In macroeconomics, the workforce or labour force is the sum of those either working (i.e., the employed) or looking for work (i.e., the unemployed): Labour force = Employed + Unemployed {\displaystyle {\text{Labour force}}={\text{Employed}}+{\text{Unemployed}}} Those neither working in

304-413: A positive wage elasticity ). This positive relationship is increasing until point F, beyond which the income effect dominates the substitution effect and the individual starts to reduce the number of labour hours he supplies (point G) as wage increases; in other words, the wage elasticity is now negative. The direction of the slope may change more than once for some individuals, and the labour supply curve

380-554: A single employer and thus do not satisfy the perfect competition assumption of the neoclassical model above. The model of a monopsonistic labour market gives a lower quantity of employment and a lower equilibrium wage rate than does the competitive model. In many real-life situations, the assumption of perfect information is unrealistic. An employer does not necessarily know how hard workers are working or how productive they are. This provides an incentive for workers to shirk from providing their full effort, called moral hazard . Since it

456-570: A time constraint, with respect to the choices of labour time and leisure time: This is shown in the graph below, which illustrates the trade-off between allocating time to leisure activities and allocating it to income-generating activities. The linear constraint indicates that every additional hour of leisure undertaken requires the loss of an hour of labour and thus of the fixed amount of goods that that labour's income could purchase. Individuals must choose how much time to allocate to leisure activities and how much to working . This allocation decision

532-403: A variety of interesting effects. This is because the absolute value of the slope of the budget constraint is the wage rate. The point of optimisation (point A) reflects the equivalency between the wage rate and the marginal rate of substitution of leisure for income (the absolute value of the slope of the indifference curve). Because the marginal rate of substitution of leisure for income is also

608-517: Is a derived demand; that is, hiring labour is not desired for its own sake but rather because it aids in producing output, which contributes to an employer's revenue and hence profits. The demand for an additional amount of labour depends on the Marginal Revenue Product (MRP) and the marginal cost (MC) of the worker. With a perfectly competitive goods market, the MRP is calculated by multiplying

684-503: Is always unstructured and unregulated. Formal employment is more reliable than informal employment. Generally, the former yields higher income and greater benefits and securities for both men and women. The contribution of informal labourers is immense. Informal labour is expanding globally, most significantly in developing countries . According to a study done by Jacques Charmes, in the year 2000 informal labour made up 57% of non-agricultural employment, 40% of urban employment, and 83% of

760-741: Is an overall larger source of employment for females than it is for males. Women frequent the informal sector of the economy through occupations like home-based workers and street vendors . The Penguin Atlas of Women in the World shows that in the 1990s, 81% of women in Benin were street vendors, 55% in Guatemala, 44% in Mexico, 33% in Kenya, and 14% in India. Overall, 60% of women workers in

836-543: Is any sort of employment that is structured and paid in a formal way. They are paid formally using payrolls paper, electronic card and alike. Unlike the informal sector of the economy, formal labour within a country contributes to that country's gross national product . Informal labour is labour that falls short of being a formal arrangement in law or in practice. Labour inherit may come as formal or non-formal , an employee old enough but below retirement age bracket passing on to his children. It can be paid or unpaid and it

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912-466: Is costly, and only those who excel in academia can succeed in becoming doctors. The port cleaner, however, requires relatively less training. The supply of doctors is therefore significantly less elastic than that of port cleaners. Demand is also inelastic as there is a high demand for doctors and medical care is a necessity, so the NHS will pay higher wage rates to attract the profession. Some labour markets have

988-593: Is defined as the number of people of working age , who are either employed or actively looking for work (unemployed). The labour force participation rate ( LFPR ) is the number of people in the labour force divided by the size of the adult civilian noninstitutional population (or by the population of working age that is not institutionalized ), LFPR = LF/Population. The non-labour force includes those who are not looking for work, those who are institutionalized (such as in prisons or psychiatric wards), stay-at-home spouses, children not of working age, and those serving in

1064-558: Is different for different individuals. Other variables that affect the labour supply decision, and can be readily incorporated into the model, include taxation, welfare, work environment, and income as a signal of ability or social contribution. A firm's labour demand is based on its marginal physical product of labour (MPP L ). This is defined as the additional output (or physical product) that results from an increase of one unit of labour (or from an infinitesimal increase in labour). (See also Production theory basics .) Labour demand

1140-524: Is difficult for the employer to identify the hard-working and the shirking employees, there is no incentive to work hard and productivity falls overall, leading to the hiring of more workers and a lower unemployment rate. One solution that is used to avoid a moral hazard is stock options that grant employees the chance to benefit directly from a firm's success. However, this solution has attracted criticism as executives with large stock-option packages have been suspected of acting to over-inflate share values to

1216-449: Is due to numerous factors including labour supply and demand shifts as well as institutional changes in the labour market. On the shifts in labour supply and demand, factors include demand for skilled workers going up more than the supply of skilled workers and relative to unskilled workers as well as technological changes that increase productivity; all of these things cause wages to go up for skilled labour while unskilled worker wages stay

1292-417: Is education, whereby employers assume that high-ability workers will have higher levels of education. Employers can then compensate high-ability workers with higher wages. However, signalling does not always work, and it may appear to an external observer that education has raised the marginal product of labour, without this necessarily being true. One of the major research achievements of the 1990–2010 period

1368-427: Is informed by the indifference curve labelled IC 1 . The curve indicates the combinations of leisure and work that will give the individual a specific level of utility. The point where the highest indifference curve is just tangent to the constraint line (point A), illustrates the optimum for this supplier of labour services. If consumption is measured by the value of income obtained, this diagram can be used to show

1444-545: Is often compounded by their lack of access to credit and financial liquidity compared to larger businesses . A farmworker , farmhand or agricultural worker is someone employed for labor in agriculture. In labor law, the term "farmworker" is sometimes used more narrowly, applying only to a hired worker involved in agricultural production, including harvesting, but not to a worker in other on- farm jobs, such as picking fruit. Agricultural work varies widely depending on context, degree of mechanization and crop. In countries like

1520-424: Is on "how firms establish, maintain, and end employment relationships and on how firms provide incentives to employees," including models and empirical work on incentive systems and as constrained by economic efficiency and risk/incentive tradeoffs relating to personnel compensation. Inequality and discrimination in the workplace can have many effects on workers. In the context of labour economics, inequality

1596-442: Is shown by the shift from point A to point B. The relative magnitude of the two effects depends on the circumstances. In some cases, such as the one shown, the substitution effect is greater than the income effect (in which case more time will be allocated to working), but in other cases, the income effect will be greater than the substitution effect (in which case less time is allocated to working). The intuition behind this latter case

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1672-400: Is that the individual decides that the higher earnings on the previous amount of labour can be "spent" by purchasing more leisure. If the substitution effect is greater than the income effect, an individual's supply of labour services will increase as the wage rate rises, which is represented by a positive slope in the labour supply curve (as at point E in the adjacent diagram, which exhibits

1748-430: Is unique to study because it is a special type of good that cannot be separated from the owner (i.e. the work cannot be separated from the person who does it). A labour market is also different from other markets in that workers are the suppliers and firms are the demanders. There are two sides to labour economics. Labour economics can generally be seen as the application of microeconomic or macroeconomic techniques to

1824-722: Is used as a method to attain cost efficiency. Variables like employment level, unemployment level, labour force, and unfilled vacancies are called stock variables because they measure a quantity at a point in time. They can be contrasted with flow variables which measure a quantity over a duration of time. Changes in the labour force are due to flow variables such as natural population growth, net immigration, new entrants, and retirements . Changes in unemployment depend on inflows (non-employed people starting to look for jobs and employed people who lose their jobs that are looking for new ones) and outflows (people who find new employment and people who stop looking for employment). When looking at

1900-518: Is usually referring to the unequal distribution of earning between households. Inequality is commonly measured by economists using the Gini coefficient . This coefficient does not have a concrete meaning but is more used as a way to compare inequality across regions. The higher the Gini coefficient is calculated to be the larger inequality exists in a region. Over time, inequality has, on average, been increasing. This

1976-533: The US , European countries, and Japan ) to developing countries in Asia (such as China , Vietnam , and India ), Mexico and Central America . This is because companies search for the cheapest locations to manufacture and assemble components, so low-cost labor-intensive parts of the manufacturing process are shifted to the developing world where costs are substantially lower. But not only manufacturing processes are shifted to

2052-472: The price of the end product or service by the Marginal Physical Product of the worker. If the MRP is greater than a firm's Marginal Cost, then the firm will employ the worker since doing so will increase profit . The firm only employs however up to the point where MRP=MC, and not beyond, in neoclassical economic theory. The MRP of the worker is affected by other inputs to production with which

2128-541: The service sector , while men focus on the industrial sector . Women usually work fewer hours in income generating jobs than men do. Often it is housework that is unpaid. Worldwide, women and girls are responsible for a great amount of household work. The Penguin Atlas of Women in the World, published in 2008, stated that in Madagascar, women spend 20 hours per week on housework, while men spend only two. In Mexico, women spend 33 hours and men spend 5 hours. In Mongolia

2204-489: The "old" international division of labor, until around 1970, underdeveloped areas were incorporated into the world economy principally as suppliers of minerals and agricultural commodities. However, as developing economies are merged into the world economy, more production takes place in these economies. This has led to a trend of transference, or what is also known as the " global industrial shift ", in which production processes are relocated from developed countries (such as

2280-475: The United States where there is a declining population of American citizens working on farms — temporary or itinerant skilled labor from outside the country is recruited for labor-intensive crops like vegetables and fruits. Paid and unpaid work are also closely related with formal and informal labour. Some informal work is unpaid, or paid under the table. Unpaid work can be work that is done at home to sustain

2356-406: The ability to create a higher derivative efficiency of labour, especially on a national and international level, compared to simpler forms of labour distribution, leading to a higher financial GDP growth and output. An efficient labour market is important for the private sector as it drives up derivative income through the reduction of relative costs of labour. This presupposes that division of labour

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2432-432: The aggregate demand for labour. Likewise, the supply curves of all the individual workers (mentioned above) can be summed to obtain the aggregate supply of labour. These supply and demand curves can be analysed in the same way as any other industry demand and supply curves to determine equilibrium wage and employment levels. Wage differences exist, particularly in mixed and fully/partly flexible labour markets. For example,

2508-410: The cost of hiring a non-minority worker, which causes less hiring of the minority. Another taste model is for employee discrimination, which does not cause a decline in the hiring of minorities, but instead causes a more segregated workforce because the prejudiced worker feels that they should be paid more to work next to the worker they are prejudiced against or that they are not paid an equal amount as

2584-477: The decision of how many hours to work, one must look at the income effect and substitution effect . The wage increase shown in the previous diagram can be decomposed into two separate effects. The pure income effect is shown as the movement from point A to point C in the next diagram. Consumption increases from Y A to Y C and – since the diagram assumes that leisure is a normal good – leisure time increases from X A to X C . (Employment time decreases by

2660-447: The degree of capital mobility within and between countries. According to neoclassical theory, over the relevant range of outputs, the marginal physical product of labour is declining (law of diminishing returns). That is, as more and more units of labour are employed, their additional output begins to decline. Additionally, although the MRP is a good way of expressing an employer's demand, other factors such as social group formation can

2736-480: The demand, as well as the labour supply. This constantly restructures exactly what a labour market is, and leads way to cause problems for theories of inflation. The marginal revenue product of labour can be used as the demand for labour curve for this firm in the short run. In competitive markets , a firm faces a perfectly elastic supply of labour which corresponds with the wage rate and the marginal resource cost of labour (W = S L = MFC L ). In imperfect markets,

2812-519: The detriment of the long-run welfare of the firm. Another solution, foreshadowed by the rise of temporary workers in Japan and the firing of many of these workers in response to the financial crisis of 2008, is more flexible job- contracts and -terms that encourage employees to work less than full-time by partially compensating for the loss of hours, relying on workers to adapt their working time in response to job requirements and economic conditions instead of

2888-560: The developing world are employed in the informal sector. The specific percentages are 84% and 58% for women in Sub-Saharan Africa and Latin America respectively. The percentages for men in both of these areas of the world are lower, amounting to 63% and 48% respectively. In Asia, 65% of women workers and 65% of men workers are employed in the informal sector. Globally, a large percentage of women that are formally employed also work in

2964-403: The developing world. The growth of offshore outsourcing of IT-enabled services (such as offshore custom software development and business process outsourcing ) is linked to the availability of large amounts of reliable and affordable communication infrastructure following the telecommunication and Internet expansion of the late 1990s. [REDACTED]  This article incorporates text from

3040-412: The diagram would have to be adjusted because MFC L would then be equal to the wage rate divided by marginal costs. Because optimum resource allocation requires that marginal factor costs equal marginal revenue product, this firm would demand L units of labour as shown in the diagram. The demand for labour of this firm can be summed with the demand for labour of all other firms in the economy to obtain

3116-400: The difference in wages that occurs because of differences in skills versus the returns to those skills. A way of modelling discrimination in the workplace when dealing with wages are Gary Becker 's taste models. Using taste models, employer discrimination can be thought of as the employer not hiring the minority worker because of their perceived cost of hiring that worker is higher than that of

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3192-411: The employer trying to determine how much work is needed to complete a given task and overestimating. Another aspect of uncertainty results from the firm's imperfect knowledge about worker ability. If a firm is unsure about a worker's ability, it pays a wage assuming that the worker's ability is the average of similar workers. This wage under compensates high-ability workers which may drive them away from

3268-512: The global workforce grew from 1.2 to 2.9 billion people. According to a 2012 report by the McKinsey Global Institute, this was caused mostly by developing nations, where there was a "farm to factory" transition. Non-farming jobs grew from 54 percent in 1980 to almost 73 percent in 2010. This industrialization took an estimated 620 million people out of poverty and contributed to the economic development of China, India and others. Under

3344-423: The hours available to them. Let w denote the hourly wage, k denote total hours available for labour and leisure, L denote the chosen number of working hours, π denote income from non-labour sources, and A denote leisure hours chosen. The individual's problem is to maximise utility U , which depends on total income available for spending on consumption and also depends on the time spent in leisure, subject to

3420-466: The housework hours amount to 27 and 12 for women and men respectively. In Spain, women spend 26 hours on housework and men spend 4 hours. Only in the Netherlands do men spend 10% more time than women do on activities within the home or for the household. The Penguin Atlas of Women in the World also stated that in developing countries, women and girls spend a significant amount of time fetching water for

3496-731: The informal sector behind the scenes. These women make up the hidden work force. According to a 2021 FAO study, currently, 85 per cent of economic activity in Africa is conducted in the informal sector where women account for nearly 90 per cent of the informal labour force. According to the ILO 's 2016 employment analysis, 64 per cent of informal employment is in agriculture (relative to industry and services) in sub-Saharan Africa. Women have higher rates of informal employment than men with 92 per cent of women workers in informal employment versus 86 per cent of men. Formal and informal labour can be divided into

3572-501: The interaction of workers and employers. Labour economics looks at the suppliers of labour services (workers) and the demanders of labour services (employers), and attempts to understand the resulting pattern of wages, employment, and income. These patterns exist because each individual in the market is presumed to make rational choices based on the information that they know regarding wage, desire to provide labour, and desire for leisure. Labour markets are normally geographically bounded, but

3648-410: The labour force = Employed + Unemployed + Out of the labour force = Total Population − People who can not work {\displaystyle {\begin{aligned}{\text{Noninstitutional civilian population}}&={\text{Labour force}}+{\text{Out of the labour force}}\\&={\text{Employed}}+{\text{Unemployed}}+{\text{Out of

3724-430: The labour force). Stated otherwise, the noninstitutional civilian population is the total population minus people who cannot or choose not to work (children, retirees, soldiers, and incarcerated people). The noninstitutional civilian population is the number of people potentially available for civilian employment. Noninstitutional civilian population = Labour force + Out of

3800-531: The labour force}}\\&={\text{Total Population}}-{\text{People who can not work}}\end{aligned}}} The labour force participation rate is defined as the ratio of the civilian labour force to the noninstitutional civilian population. Labour force participation rate = Labour force Noninstitutional civilian population {\displaystyle {\text{Labour force participation rate}}={\dfrac {\text{Labour force}}{\text{Noninstitutional civilian population}}}} Formal labour

3876-418: The labour market as well as at the same time attracting low-ability workers. Such a phenomenon, called adverse selection , can sometimes lead to market collapse. One way to combat adverse selection, firms will try to use signalling , pioneered by Michael Spence , whereby employers could use various characteristics of applicants differentiate between high-ability or low-ability workers. One common signal used

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3952-436: The labour market may act as a non-clearing market . While according to neoclassical theory most markets quickly attain a point of equilibrium without excess supply or demand, this may not be true of the labour market: it may have a persistent level of unemployment. Contrasting the labour market to other markets also reveals persistent compensating differentials among similar workers. Models that assume perfect competition in

4028-427: The labour market, as discussed below, conclude that workers earn their marginal product of labour. Households are suppliers of labour. In microeconomic theory, people are assumed to be rational and seeking to maximize their utility function . In the labour market model, their utility function expresses trade-offs in preference between leisure time and income from time used for labour. However, they are constrained by

4104-402: The labour market. Many sociologists, political economists, and heterodox economists claim that labour economics tends to lose sight of the complexity of individual employment decisions. These decisions, particularly on the supply side, are often loaded with considerable emotional baggage and a purely numerical analysis can miss important dimensions of the process, such as social benefits of

4180-474: The labour market. Microeconomic techniques study the role of individuals and individual firms in the labour market. Macroeconomic techniques look at the interrelations between the labour market, the goods market, the money market, and the foreign trade market. It looks at how these interactions influence macro variables such as employment levels, participation rates, aggregate income and gross domestic product . The labour market in macroeconomic theory shows that

4256-401: The marketplace nor looking for work are out of the labour force . The sum of the labour force and out of the labour force results in the noninstitutional civilian population , that is, the number of people who (1) work (i.e., the employed), (2) can work but don't, although they are looking for a job (i.e., the unemployed), or (3) can work but don't, and are not looking for a job (i.e., out of

4332-452: The military. The unemployment level is defined as the labour force minus the number of people currently employed. The unemployment rate is defined as the level of unemployment divided by the labour force. The employment rate is defined as the number of people currently employed divided by the adult population (or by the population of working age). In these statistics , self-employed people are counted as employed. The labour market has

4408-553: The most important sources of livelihood for women. Women are estimated to account for approximately 70 per cent of informal cross-border traders and are also prevalent among owners of micro, small, or medium-sized enterprises (MSMEs). MSMEs are more vulnerable to market shocks and market disruptions. For women-owned MSMEs this is often compounded by their lack of access to credit and financial liquidity compared to larger businesses. However, MSMEs are often more vulnerable to market shocks and market disruptions. For women-owned MSMEs, this

4484-450: The net of exports minus imports (X−M), since AE = C + I + G + (X−M). Neoclassical economists view the labour market as similar to other markets in that the forces of supply and demand jointly determine the price (in this case the wage rate) and quantity (in this case the number of people employed). However, the labour market differs from other markets (like the markets for goods or the financial market) in several ways. In particular,

4560-599: The new jobs in Latin America. That same year, informal labour made up 78% of non-agricultural employment, 61% of urban employment, and 93% of the new jobs in Africa. Particularly after an economic crisis, labourers tend to shift from the formal sector to the informal sector. This trend was seen after the Asian economic crisis which began in 1997. Gender is frequently associated with informal labour. Women are employed more often informally than they are formally, and informal labour

4636-418: The overall macroeconomy, several types of unemployment have been identified, which can be separated into two categories of natural and unnatural unemployment. Natural Unemployment Unnatural Unemployment Aggregate expenditure (AE) can be increased, according to Keynes, by increasing consumption spending (C), increasing investment spending (I), increasing government spending (G), or increasing

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4712-400: The practice of accessing the lowest-cost workers from all parts of the world, is partly a result of this enormous growth in the workforce. While most of the absolute increase in this global labour supply consisted of less-educated workers (those without higher education), the relative supply of workers with higher education increased by about 50 percent during the same period. From 1980 to 2010,

4788-409: The productivity of the worker. Many regions and countries have enacted government policies to combat discrimination, including discrimination in the workplace. Discrimination can be modelled and measured in numerous ways. The Oaxaca decomposition is a common method used to calculate the amount of discrimination that exists when wages differ between groups of people. This decomposition aims to calculate

4864-448: The ratio of the marginal utility of leisure (MU ) to the marginal utility of income (MU ), one can conclude: where Y is total income and the right side is the wage rate. If the wage rate increases, this individual's constraint line pivots up from X,Y 1 to X,Y 2 . He/she can now purchase more goods and services. His/her utility will increase from point A on IC 1 to point B on IC 2 . To understand what effect this might have on

4940-417: The rise of the internet has brought about a 'planetary labour market' in some sectors. Labour is a measure of the work done by human beings. It is conventionally contrasted with other factors of production , such as land and capital . Some theories focus on human capital , or entrepreneurship , (which refers to the skills that workers possess and not necessarily the actual work that they produce). Labour

5016-456: The same amount as leisure increases.) But that is only part of the picture. As the wage rate rises, the worker will substitute away from leisure and into the provision of labour—that is, will work more hours to take advantage of the higher wage rate, or in other words substitute away from leisure because of its higher opportunity cost . This substitution effect is represented by the shift from point C to point B. The net impact of these two effects

5092-477: The same or decline. As for the institutional changes, a decrease in union power and a declining real minimum wage, which both reduce unskilled workers wages, and tax cuts for the wealthy all increase the inequality gap between groups of earners. As for discrimination, it is the difference in pay that can be attributed to the demographic differences between people, such as gender, race, ethnicity, religion, sexual orientation, etc, even though these factors do not affect

5168-753: The subcategories of agricultural work and non-agricultural work. Martha Chen et al. believe these four categories of labour are closely related to one another. A majority of agricultural work is informal, which the Penguin Atlas for Women in the World defines as unregistered or unstructured. Non-agricultural work can also be informal. According to Martha Chen et al. , informal labour makes up 48% of non-agricultural work in North Africa, 51% in Latin America, 65% in Asia, and 72% in Sub-Saharan Africa. Agriculture and informal economic activity are among some of

5244-452: The supply of labour exceeds demand, which has been proven by salary growth that lags productivity growth. When labour supply exceeds demand, salary faces downward pressure due to an employer's ability to pick from a labour pool that exceeds the jobs pool. However, if the demand for labour is larger than the supply, salary increases, as employee have more bargaining power while employers have to compete for scarce labour. The Labour force (LF)

5320-502: The title Earning . If an internal link led you here, you may wish to change the link to point directly to the intended article. Retrieved from " https://en.wikipedia.org/w/index.php?title=Earning&oldid=1231963194 " Category : Disambiguation pages Hidden categories: Short description is different from Wikidata All article disambiguation pages All disambiguation pages Labour (economics) Labour markets or job markets function through

5396-448: The wages of a doctor and a port cleaner, both employed by the NHS , differ greatly. There are various factors concerning this phenomenon. This includes the MRP of the worker. A doctor's MRP is far greater than that of the port cleaner. In addition, the barriers to becoming a doctor are far greater than that of becoming a port cleaner. To become a doctor takes a lot of education and training which

5472-562: The week, while men do not. For example, in Malawi women spend 6.3 hours per week fetching water, while men spend 43 minutes. Girls in Malawi spend 3.3 hours per week fetching water, and boys spend 1.1 hours. Even if women and men both spend time on household work and other unpaid activities, this work is also gendered. In the United Kingdom in 2014, two-thirds of workers on long-term sick leave were women, despite women only constituting half of

5548-507: The worker can work (e.g. machinery), often aggregated under the term " capital ". It is typical in economic models for greater availability of capital for a firm to increase the MRP of the worker, all else equal. Education and training are counted as " human capital ". Since the amount of physical capital affects MRP, and since financial capital flows can affect the amount of physical capital available, MRP and thus wages can be affected by financial capital flows within and between countries, and

5624-473: The worker they are prejudiced against. One more taste model involves customer discrimination, whereby the employers themselves are not prejudiced but believe that their customers might be, so therefore the employer is less likely to hire the minority worker if they are going to interact with customers that are prejudiced. There are many other taste models other than these that Gary Becker has made to explain discrimination that causes differences in hiring in wages in

5700-571: The workforce, even after excluding maternity leave. The global supply of labour almost doubled in absolute numbers between the 1980s and early 2000s, with half of that growth coming from Asia. At the same time, the rate at which new workers entered the workforce in the Western world began to decline. The growing pool of global labour is accessed by employers in more advanced economies through various methods, including imports of goods, offshoring of production, and immigration . Global labor arbitrage ,

5776-570: Was the development of a framework with dynamic search , matching, and bargaining. At the micro level, one sub-discipline eliciting increased attention in recent decades is analysis of internal labour markets , that is, within firms (or other organisations), studied in personnel economics from the perspective of personnel management . By contrast, external labour markets "imply that workers move somewhat fluidly between firms and wages are determined by some aggregate process where firms do not have significant discretion over wage setting." The focus

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