Theoritical basis of labour market:
The term "labour" can be used to describe all human activities carried out within a
society, regardless of educational background or technical training, with the goal of
obtaining resources necessary for the satisfaction of basic needs, such as alimentation, as
well as to pay for leisure activities and access to the arts.
There were numerous researchs and book about labour market have been done and as a
result, plenty of theory were also introduced. Basically, labour markets (job market) play
a role as a intermediary which brings interaction between offer and demand for labour as
a production factor. It is a dynamic marketplace which can be based on factors like
working patterns or technical requirements for particular professions, or professional
groups to be divided into sub segments.
On the demand side the main parties are private companies and public institutions, the
offer side is mainly represented by private households (Bundeszentrale für politische
Bildung, 2008b).
Labour offer is influenced by factors such as population development, labour
participation and working preferences of applicants. Labour demand relies basically on
macroeconomic demand for products and services, production conditions, future
expectations and underlying circumstances.
Representative researchs in labour market:
1. "Labor Economics" by George J. Borjas: This comprehensive textbook provides an indepth analysis of labor economics and covers the theoretical foundations of the labor
market, including labor supply and demand, wage determination, human capital, and
labor market institutions.
2. "The Theory of Wages" by John R. Hicks: This classic work presents a detailed
theoretical analysis of wage determination. It explores the relationship between labor
supply and demand, the impact of productivity on wages, and the role of unions and
collective bargaining in wage determination.
3. "Microeconomics" by Robert S. Pindyck and Daniel L. Rubinfeld: This widely used
textbook covers various topics in microeconomics, including the labor market. It provides
a comprehensive overview of labor supply and demand, wage determination, labor
market discrimination, and other labor market issues.
4. "Labor Economics: Principles in Practice" by Kenneth D. Hoffmann and James E.
Smith: This textbook offers a practical approach to labor economics. It covers the
theoretical foundations of the labor market, labor market institutions, labor market
policies, and contemporary labor market issues.
5. "Handbook of Labor Economics" edited by Orley Ashenfelter and Richard Layard:
This extensive handbook compiles chapters from leading economists that provide an indepth analysis of various aspects of labor economics. It covers topics such as labor
supply and demand, wage determination, labor market dynamics, labor market
institutions, and labor market policies.
6. "Labour Economics: Theory, Evidence, and Policy in a Global Context" by Damian
Grimshaw, Paul Willman, and Kirsty Newsome: This textbook offers a global perspective
on labor economics. It covers theoretical concepts, empirical evidence, and policy
debates related to labor markets, including wage determination, unemployment, labor
market institutions, and international labor migration.
1. def of labour
theory of labour market (use only 1 sources)
labour offer
labour demand
Equilibrium
2, mentioned 4-5 theory about labour martket( from previous research)
conclude