XECO 212 Week 3

CheckPoint: Historical Example of Labor Supply and Demand

Submit a 250- to 300-word response addressing one of the following historical events in terms of labor supply and demand: the Great Depression, the Luddite Revolt, the Black Death, or the technology boom of the 1990s. Include the following:

What was the impact on the supply and demand of labor on one sector of the labor market?

Explain the factors that affected labor demand and labor supply in the chosen historical example.

Why do some workers make more money than others? Must everyone make the same wage? Explain your answers using labor market equilibrium.

Imagine that you are a business owner. Choose whether to hire a new person in the marketing department or upgrade your computer system. Each choice requires the same amount of investment. Address the following topics: What factors do you use to determine whether to invest in the additional capital and labor?