Find the answer that best describes the action or situation.
The likely result of a surfeit of skilled workers.
1. prices go up 2. wages go down
3. jobs stay the same 4. profits go down
Answer: prices go up
I disagree. Do you know the meaning of surfeit?\
excessive amount. How about:
wages go down.
Yes. Wages go down if there is an excessive amount of skilled workers.
To determine the answer, we need to understand the concept of a surfeit of skilled workers. A surfeit means an excess or abundance, so in this context, a surfeit of skilled workers refers to a situation where there is an oversupply of workers who possess relevant skills.
In such a scenario, the likely result would be that prices go down. When there is an excess supply of skilled workers, businesses have more options to choose from when hiring, which can lead to increased competition among the workers. To remain competitive, workers may be willing to accept lower wages, reducing labor costs for employers. As a result, businesses can lower their prices to attract more customers and increase sales.
Therefore, the correct answer is not "prices go up" as stated, but rather "wages go down."