Th3.5: Immobility Flashcards
What can labour suffer from?
either occupational or geographical immobility
Occupational mobility
where workers find it difficult to move from one job to another because of a lack of transferable skills. it is particularly difficult in the short term when workers need to get new training but in the long run it may only be possible at a high cost
Geographical immobility
where they find it difficult to move from one place to another due to the cost of movement, family e.t.c. housing is also a big issue because people may not be able to afford to buy a new house - in general, those on lower incomes are more geographically immobile
Immobility can result in excess what?
immobility can mean that there can be excess supply of labour in one area/occupation and excess demand in another
Even if wages are higher where there is excess demand…
people will be unable to leave where there is excess supply to get a job in that area/occupation because of their immobility