Supply of labour
Supply of labour is the quantity of workers willing to work at different wage levels. Labour supply is upward-sloping at higher wage levels as higher wages attract more workers, though individual labour supply may be backward-bending at very high wages.
Real World
During the UK's 2022 lorry driver shortage, haulage firms offered wages above £50,000 to attract workers from other occupations, demonstrating how higher wages shift labour supply into a sector.
Exam Focus
Distinguish between a movement along the labour supply curve (wage change) and a shift of it (non-wage factors).
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