A major new entry of the undergraduate Labor Economics Course, this text presents both economic theory and empirical evidence to illustrate and explain "the story" of modern labor markets. The text carefully blends coverage of traditional topics with coverage of modern theory and developments. The organization of materials is designed to motivate student interest. For example, most chapters open with a presentation of labor market facts followed by a discussion of the story of theory labor economists have developed to understand and explain these facts. The theory is then extended and applied to other market realities.