Transcript Labor and wages - Jefferson Forest High School

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

Students will identify four main categories of
labor.
Students will explain the importance of
noncompeting labor grades
Students will describe three different
approaches to wage determination
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Unskilled Labor

Workers that work primarily with their hands due to
a lack of training and skills required for other jobs
 Digging ditches
 Mopping floors
 Picking fruit
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Semiskilled Labor

Workers with enough mechanical abilities and skills
to operate machines that require minimal training
 Operating a floor polisher
 Lawn mower
 Other machines
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Skilled Labor

Workers who are able to operate complex equipment
and can perform tasks with little supervision
 Carpenters
 Computer technicians
 Chefs
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Professional Labor

Individuals with the highest level of knowledge
based education and managerial skills
 Doctors
 Lawyers
 Scientists
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Noncompeting labor grades

Broad categories of labor that do not directly
compete with one another because of experience,
training, education, and other human capital
investments
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Wage Rate

The standard amount of pay given for a particular
line of work or type of work
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Traditional Theory of Wage Determination
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Supply and demand for a workers skills and services
determine their wage or salary.
Equilibrium Wage Rate
 Wage rate that leaves neither a surplus or a
shortage in the labor market
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Theory of Negotiated Wages
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Organized labor and bargaining strength is a factor
that helps determine wage rates
Seniority
 Length of time a person has been on a job.
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Signaling Theory
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Employers hire employees at higher rates if they
have certain signals about them. Fats that makes the
employer think they are worth more
 Degrees
 Certificates
 Diplomas
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Due to cost of living and other factors, different
areas of the country have different wage rates
Labor Mobility

Ability and willingness of workers to relocate in
markets where wages are higher
Workers who have the skills to operate machines and who
require a minimum amount of training are
A.
B.
C.
D.
Unskilled labor
Semiskilled labor
Skilled labor
Professional labor
Workers who have the skills to operate machines and who
require a minimum amount of training are
A.
B.
C.
D.
Unskilled labor
Semiskilled labor
Skilled labor
Professional labor
The theory that wages are based on the supply and
demand for a worker's skills is the
A.
B.
C.
D.
signaling theory
theory of negotiated wages
traditional theory of wages
seniority theory
The theory that wages are based on the supply and
demand for a worker's skills is the
A.
B.
C.
D.
signaling theory
theory of negotiated wages
traditional theory of wages
seniority theory
Workers with knowledge-based education and
managerial skills are
A.
B.
C.
D.
Unskilled labor
Semiskilled labor
Skilled labor
Professional labor
Workers with knowledge-based education and
managerial skills are
A.
B.
C.
D.
Unskilled labor
Semiskilled labor
Skilled labor
Professional labor
Regional differences in wage rates are influenced by all of
the following factors EXCEPT
A.
B.
C.
D.
Cost of living
Location
Labor mobility
Labor grades
Regional differences in wage rates are influenced by all of
the following factors EXCEPT
A.
B.
C.
D.
Cost of living
Location
Labor mobility
Labor grades
Labor mobility refers to
A. the ability and willingness of workers to obtain more
education to move into higher paying jobs
B. the ability and willingness of workers to relocate in
markets where wages are higher
C. the ability and willingness of workers to move between
labor grades
D. all of the above
Labor mobility refers to
A. the ability and willingness of workers to obtain more
education to move into higher paying jobs
B. the ability and willingness of workers to relocate in
markets where wages are higher
C. the ability and willingness of workers to move between
labor grades
D. all of the above
The wage theory that states that differences in wage rates
are determined by collective bargaining is the
A.
B.
C.
D.
traditional theory of wage determination
theory of equilibrium wage rate
theory of negotiated wages
signaling theory
The wage theory that states that differences in wage rates
are determined by collective bargaining is the
A.
B.
C.
D.
traditional theory of wage determination
theory of equilibrium wage rate
theory of negotiated wages
signaling theory
Labor grades are often said to be _______ labor grades
because workers rarely move from one grade to another
and there is no pressure salary wise with each other
A.
B.
C.
D.
non-occurring
non-competing
irrelevant
stagnant
Labor grades are often said to be _______ labor grades
because workers rarely move from one grade to another
and there is no pressure salary wise with each other
A.
B.
C.
D.
non-occurring
non-competing
irrelevant
stagnant