It is argued that a localized industrial cluster of firms can enjoy external economies by creating a pooled market for workers with highly specialized skills. In what ways can such a pooled labor market be advantageous and who could​ benefit?   Labor market pooling can   a. increase the likelihood of unionization leading to higher wages and benefits for workers at the expense of producers.   b. reduce the likelihood of unionization by workers leading to lower wages and benefits to the benefit of producers.   c. reduce the likelihood of labor shortages for producers and unemployment for workers.   d. increase the likelihood of job retention and improved productivity among workers to the benefit of producers.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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It is argued that a localized industrial cluster of firms can enjoy external economies by creating a pooled market for workers with highly specialized skills. In what ways can such a pooled labor market be advantageous and who could​ benefit?

 

Labor market pooling can

 

a. increase the likelihood of unionization leading to higher wages and benefits for workers at the expense of producers.

 

b. reduce the likelihood of unionization by workers leading to lower wages and benefits to the benefit of producers.

 

c. reduce the likelihood of labor shortages for producers and unemployment for workers.

 

d. increase the likelihood of job retention and improved productivity among workers to the benefit of producers.

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