Principles of Microeconomics / Unit 13 MIC 1213 short lesson, about 20 seconds
The Supply of Labor
Captions available
The idea
Supplying labor means giving up leisure. A higher wage makes leisure dearer, the substitution effect, and the worker richer, the income effect, buying leisure; an individual's supply can bend backward. Supply to an occupation slopes upward as workers move in.
In practice
One worker adds hours after a raise; another takes Fridays off.
Where people slip
Backward bending is about individuals; the course draws market supply upward.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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