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Economics (AS & A Level) · Oct / Nov 2024 · Paper 33 · Question 13

9708Labour market forces and government intervention

A firm buys new machinery which increases the marginal productivity of its workforce. What will be the resulting impact on the market for labour?

  1. Aa shift to the left in the demand curve for labour
  2. Ba shift to the right in the demand curve for labour
  3. Ca shift to the left in the supply curve of labour
  4. Da shift to the right in the supply curve of labour

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Correct answer: B. a shift to the right in the demand curve for labour

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