Labour Market Segmentation Theory Term Paper Example | Topics and Well Written Essays - 250 words

moil Market Segmentation Theory - Term Paper Example56-60). Labor market segmentation supposition is actually one of neo-classical economic theories. According to the neoclassical economists, there is a labor market, which is similar to opposite markets with sellers and buyers in open competition with one another. It is different from the other markets in some ways. It is a habitual fact that labor is not a homogeneous commodity, when it comes to the interests and choice between work and leisure it varies from prole to worker, have different tastes for monetary rewards as opposed to non-monetary rewards (Toft, pp. 36-44). In a labor market, neither the employer nor the workers enkindle move from one place to another without incurring certain costs. It results in wages remaining graduate(prenominal) in cities that are big even when there are many workers unemployed when other part of the country are taken into account. Local labor market is a term that often comes below utili zation to refer to the market with jobs restricted to a particular locale it can be a town or a city. Where employers in different industries require certain skills and wish to keep workers formerly the workers are equipped with certain skills industrial labor markets arise (Toft, pp. 25-30).