assumption of
Explain the main
Classical
theory of employment its
Answers
Explanation of Classical Theory of Employment:
The classical theory of employment is based on the assumption of flexibility of wages, interest and prices. This means that wage rate, interest rate and price level change in their respective markets according to the forces of demand and supply.
Answer:
classical employment theory
Explanation:
the classical economics held the view that in capitalistic economy there is always stable equilibrium at the full employment level in the long run under conditions of perfect competition the considered full employment full employment is situation in which all those who are willing to work at the existing weight rate or engaged in work I general feature and Employment if there is an employment it anytime the economy has it tendency to move towards full employment there would be automatically of market forces provided there is no interference by the government in the long run these views are broadly known as the classical theory of output in come and employment
