Question

If the existence of alternative opportunities makes people become less willing to work in poultry processing plants, then the real wage of unskilled workers in poultry processing plants is predicted to ______ and the employment of unskilled workers in poultry processing plants is predicted to ______.

Answer 1

Answer: If the existence of alternative opportunities makes people become less willing to work in poultry processing plants, then the real wage of unskilled workers in poultry processing plants is predicted to increase and the employment of unskilled workers in poultry processing plants is predicted to increase as well.

Explanation: If nobody is willing to work in such places, then the job offers must become more attractive to workers. A higher pay for a job attracts people to apply for it, and those are hired even been unskilled. Therefore, more unskilled workers would be hired, for higher salaries than before. This is called the supply and demand process, in which the most difficult to find something, the more expensive it becomes.