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    PracticeAQA GCSEAQA GCSE Economics Paper 1Question 06
    Easy1 markMultiple Choice
    How markets workGeneralLabour MarketWages

    AQA GCSE · Question 06 · How markets work

    In which jobs are earnings likely to be highest?

    Answer options:

    A.

    In those where it is easy to replace workers

    B.

    In those where workers are paid weekly

    C.

    In those with an excess supply of labour

    D.

    In those with long training periods

    How to approach this question

    Apply the principles of supply and demand to the labour market. High earnings result from high demand for a particular skill and/or a low supply of workers with that skill. Evaluate which option describes a situation that restricts the supply of labour.

    Full Answer

    D.In those with long training periods✓ Correct
    The correct answer is D. Jobs that require long training periods have a limited supply of qualified workers. This low supply, combined with demand for their skills, drives up wages and earnings.
    The determination of wages in a labour market is governed by supply and demand. Factors that restrict the supply of labour, such as the need for extensive education, training, or specific talents, tend to increase the equilibrium wage. Jobs requiring long training periods, like surgeons or architects, have a smaller pool of qualified candidates, making their labour more scarce and valuable, thus commanding higher earnings.

    Common mistakes

    Focusing on irrelevant factors like payment frequency or assuming that any job with high demand will have high pay, without considering the supply side.
    Question 05All questionsQuestion 07

    Practice the full AQA GCSE Economics Paper 1

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