Labour supply

In mainstream economic theory, labor supply refers to the total number of hours a worker wishes to work at a given real wage rate (adjusted according to the level of effort). It is usually represented graphically by the assumed wage rate plotted vertically and the labor supply curve showing the labor volumes intending to attract individuals or groups of individuals at that wage rate level.

This labor supply curve of the inverse curve shows how the change in the real wage rate affects the working hours of employees.

The labor supply curve arises from the trade-off between "labor and leisure". The longer you work the longer your income will be higher, but you need to reduce your worker's leisure time. Therefore, due to changes in the real wage rate, there are two effects on the amount of labor that is expected to be supplied. For example, as the real wage rate rises, opportunity costs for leisure time will increase. This often leads workers to provide more labor ("alternative effect"). However, as the real wage rate rises, workers get higher incomes within a certain period of time. If leisure is a normal benefit - it becomes necessary as income increases - this increase tends to reduce workers' labor, so more income can be spent leisurely ("income effect") . If the alternative effect is stronger than the income effect, labor supply will tilt upward. If the wage rate exceeds a certain wage rate and the income effect is stronger than the alternative effect, the labor supply curve turns in the opposite direction. You can summarize individual labor supply curves and derive total labor supply to the economy. [1]

From the viewpoint of Marxism, labor supply is the core requirement of a capitalist society. To avoid labor shortages, most sources of population may not have self-supply, which will make them independent, to ensure the supply of labor - and they do not have a life wage Under the [2] [3] who have to survive to forcibly sell the labor force to earn, developed wage labor is usually brought only by people who have little or no land. [Four]

Labor supply historical consideration G. Arrighi (1970):. Research on RHODE proletariat of farmers in West Africa: Development Research Journal, Volume 6, April 3, 1970, p. 197 to 234: 10.1080 / 00220387008421322

Richard Brandel and Thomas MaCurdy, 2008. "Labor Supply", New Palgrave Economic Dictionary, 2nd Edition Summary

Why is the labor supply curve turning backwards? In order to answer this question, this paper considers labor supply, wages, and their relationship from different perspectives. Therefore, if time zones are limited, increased labor supply means less leisure demand, and vice versa. There is an opposite change between labor supply and leisure demand. Secondly, wages are actually leisure opportunity costs. Therefore wages can be seen as a price of leisure time. Therefore, by explaining the reason why leisure demand is inclined upwards, it is possible to explain the labor supply of backward bending.

The labor supply curve arises from the trade-off between "labor and leisure". The longer you work the longer your income will be higher, but you need to reduce your worker's leisure time. Therefore, due to changes in the real wage rate, there are two effects on the amount of labor that is expected to be supplied. For example, as the real wage rate rises, opportunity costs for leisure time will increase. This often leads workers to provide more labor ("alternative effect"). However, as the real wage rate rises, workers get higher incomes within a certain period of time. If leisure is usually good - the demand for it will increase as income increases - the increase in income tends to make workers lessen workers, high income "recreation" flowers " You can ("Income Effect"). If the alternative effect is stronger than the income effect, the labor supply will rise to the right. This means that individual labor supply curves can be aggregated to reach a total labor supply economy