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Does the United States’ labor supply tend to be more elastic or more inelastic? Explain the competing theories discussed in our textbook. Which seems more convincing to you? Explain your answer.

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Answer:

The labor market operates in the US and other free-market systems according to the laws of supply and demand. Workers or laborers offer their time to the marketplace for a price. Business firms have a demand for labor of various kinds at various prices.

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