Arrange the following steps in the correct order of how labor market equilibrium is established: A) Firms hire workers until the marginal cost of hiring equals the marginal revenue product of labor, B) The wage rate adjusts due to shifts in labor supply or demand, C) The total supply of labor meets the total demand for labor, D) The labor market reaches an equilibrium wage and employment level.

To establish labor market equilibrium, the process begins with firms hiring workers until the marginal cost of hiring is equal to the marginal revenue product of labor. As firms adjust their hiring based on this principle, the wage rate will change in response to shifts in labor supply or demand. Eventually, this adjustment leads to a point where the total supply of labor matches the total demand for labor. At this point, the labor market reaches an equilibrium wage and employment level, where both workers and firms are satisfied. For example, if many new workers enter the job market, wages might drop until firms hire enough workers to balance supply and demand.