Photo AI
1. Statement 1: Since Poland joined the European Union (EU) in 2004, over one million of its workforce have migrated to other countries in the EU - Edexcel - A-Level Economics A - Question 1 - 2021 - Paper 1
Question 1
1. Statement 1: Since Poland joined the European Union (EU) in 2004, over one million of its workforce have migrated to other countries in the EU. Statement 2: Many... show full transcript
Worked Solution & Example Answer:1. Statement 1: Since Poland joined the European Union (EU) in 2004, over one million of its workforce have migrated to other countries in the EU - Edexcel - A-Level Economics A - Question 1 - 2021 - Paper 1
Step 1
Which one of the following best describes the two statements above?
Answer
The correct answer is D. Both statements are positive statements as they make objective claims that can be tested. Statement 1 discusses migration trends among the workforce in Poland, while Statement 2 specifically addresses engineers seeking higher-paid jobs.
Step 2
Explain the likely impact of migration on the wage level of engineers in Poland.
Answer
The migration of engineers from Poland can lead to a decrease in the supply of labor in that sector. As fewer engineers are available in the labor market, firms may face excess demand for engineering positions. This excess demand can push wages up due to the competition among firms to attract the remaining engineers.
Consequently, the wage rate for engineers in Poland is likely to rise as firms increase their offers to retain talent and attract new workers.
In summary:
- Supply of labor decreases, leading to wage rises.
- Firms may offer higher wages to retain engineers.
- The labor market may reach a new equilibrium at higher wage levels.