Factors increasing the labor supply and thereby contributing to the slowdown in real-wage growth that began in

Question

Factors increasing the labor supply and thereby contributing to the slowdown in real-wage growth that began in the 1970s include ____ and _____.

A. increased worker mobility; increased transition aid

B. skill-biased technological change; globalization

C. increased labor force participation by women; the coming-of-age of the baby-boom generation

D. technological progress; diminishing returns to labor

E. increasing wage inequality; globalization

Answer 1

C. increased labor force participation by women; the coming-of-age of the baby-boom generation

globalization is a more recent phenomenon, labor mobility from abroad can lead to greater supply  - not labor mobility within. there is nothing like diminishing returns to labor affectinng labor supply, real wage growth deopends also on demand for labor.

Answer 2

C, both deal with the labor supply