One thing I don't fully understand is why the equilibrium for the demand/supply of labor is not enough to live on. Why does the hiring party get to be more picky (and thus pay less) among potential employees, while employees get to be much less picky in their job? Some theories:
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Many welfare programs cut you off if you don't accept the first job you're offered, labeling you "voluntarily unemployed"
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I think it's that the employer is negotiating for (1/employee_count) of their productivity, and the employee is negotiating for their entire income. More to lose. Maybe if the employer had to negotiate with the entire workforce at once, this would increase wages...
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@robertskmiles that's why unions were created... so the entire workforce can negotiate with the employer and have similar power. That's also why so many hate unions.
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