Overview
Labor market polarization is a significant economic phenomenon characterized by the growth of high-skill and low-skill jobs, while middle-skill jobs decline. This shift has profound implications for income inequality, as it creates a wider gap between the earnings of different skill levels. The cons...
Key Terms
Example: The labor market is influenced by economic conditions and job availability.
Example: Job polarization is evident in the tech industry, where demand for software engineers has surged.
Example: Income inequality has increased in many countries due to job polarization.
Example: Many graduates face skill mismatch when they cannot find jobs in their field.
Example: Economic growth can be hindered by high levels of unemployment.
Example: An increase in labor supply can lead to lower wages.