Please answer all the questions. 6) Name one factor that causes a shift in the d
ID: 1129638 • Letter: P
Question
Please answer all the questions. 6) Name one factor that causes a shift in the demand curve for low skill workers in the U.S. over the past 100 years and say which way this has caused the demand curve to shift (increase or decrease). 7) Name one thing that has changed, in the American economy over the past 100 years, that has caused a shift in the demand for female workers and say which way the demand curve has shifted (increase or decrease). 8) Explain what one thing in the last 100 years that has caused most women, in the U.S., to enter the labor force and buy labor saving devices like vacuum cleaners and electric washing machines in the market rather than doing laundry and cleaning at home. 9)Explain, in detail, why a union is likely to be strong in an industry that is concentrated 10)What causes the SCALE effect in a firm's labor demand curve and what does this do to its demand for labor, in the short run?, in the long run ? 11) Explain (very briefly) why the aggregate unemployment rate goes up when the aggregate demand goes down? What type of unemployment is tis ?Explanation / Answer
6. The US economy has changed from manufacturing sector dependent to service sector dependent. Manufacturing in the USA is continually on the decline and today a an overwhelming majority of people are employed in service industries like financial services, retailing, banking, entertainment, IT, etc. The manufacturing sector mainly employes low skilled workers because manufacturing mostly involves manual work. A decline in manufacturing has reduced demand for low-skilled workers. This has shifted the demand curve for low-skilled workers towards the left.
7. The service sector in the country has grown fast and it has become the main industry in the USA. Around 80% of the entire workforce of the country is employed in the service sector. Service sector employes more women than the manufacturing sector. Also, the service sector involves less manual work which encourages more female workers to participate. Growth in the service sector has resulted in the higher demand for female workers and the demand curve has shifted towards the right.