Answer:
1. How do we decide how much each person in society should be paid?
The highest paying jobs in society typically have a combination of two factors: 1) they are highly specialized, that is to say, difficult to perform, 2) they have a high demand.
Two examples are: medical specialists, and CEOs.
Why do some jobs receive high wages while others do not? Do wages
reflect what types of jobs our society values?
Jobs that receive higher wages, again, are either more difficult to do, or have a higher demand, or are more scarce.
This does reflect in part what types of jobs our society values, however, not all high paying jobs are well valued, and some low paying jobs enjoy prestige.
2. Using what you know about supply and demand and labor, explain
how changes in supply and demand couple impact employment and jobs
In the current economic crisis, we have seen a reduction in the demand for jobs, because most firms are either selling less, or have simply gone out of business.
This has led to higher unemployment, since many people have been fired and cannot find new places where to be hired.
