Which effect is MOST associated with a shortage of labor?
A. Fewer goods are produced.
OB. More resources are consumed.
O C. Less technology is required.
D. More businesses are formed.

Answer: I think the answer would be A. If there is a shortage of labor, there would also most likely be fewer goods being produced.

Explanation:

Fewer goods are produced this is the effect of the shortage of labor. This is why the labor supply or the Shortage of labor takes place. Thus, option A is appropriate.

When there are more open positions on the market than there are people to fill them, there is a labor shortage. Because of this distinction, firms struggle to find and retain employees.

When there are significantly more open positions on the market than there are people to fill them, there is a labor shortage.

The first economic impact is that higher salaries should result from a decrease in the availability of labor. This is fundamental supply and demand, as well as sectors where there is a severe lack of manpower, there have been significant wage increases.

Thus, option A is correct.

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