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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) Positive. Both statements are positive in nature as they provide objective information that can be tested. Statement 1 describes the migration of the workforce and Statement 2 describes the migration of engineers for better pay. Therefore, they cannot be classified as normative statements, which are based on value judgments.
Step 2
Explain the likely impact of migration on the wage level of engineers in Poland.
Answer
The migration of engineers from Poland to other countries for higher wages can have several impacts on the wage level of engineers in Poland:
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Supply of Labor Decreases: As engineers leave Poland, the overall supply of labor in the engineering sector decreases. This reduced supply can lead to higher wages as firms compete to attract the remaining engineers.
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Wage Rises: With a shrinking labor pool, firms may offer higher wages to attract and retain qualified engineers, thus increasing wage rates in Poland.
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Shortage of Engineers: The outflow may create a shortage of engineers, resulting in increased demand for the remaining workforce, further contributing to wage hikes.
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Excess Demand: Firms may experience excess demand for engineering talent, prompting them to adjust wages upward.
In conclusion, the outflow of engineers can create upward pressure on wages in Poland's labor market, as firms seek to maintain adequate staffing levels.