Which of the following are determinates of equilibrium wages:
(i) the supply of labour
(ii) the demand for labour
(iii) the non-monetary characteristics of the job
A)(i) only
B)(ii) only
C)(ii) and (iii) only
D)(i), (ii) and (iii)

Question

Quizplus · Accepted Answer

Equilibrium wages are determined by the interaction of supply and demand for labor, which are represented by (i) and (ii) respectively. The non-monetary characteristics of the job, such as working conditions or job security are also taken into account by employers and employees during wage negotiations, making (iii) an additional determinant of equilibrium wages. Therefore, all three factors - (i), (ii), and (iii) - contribute to the determination of equilibrium wages.

Which of the Following Are Determinates of Equilibrium Wages