5 ms·
>Markets approximate an algorithm where you line up everyone who can do a job by willingness to do it, then pick the cheapest if someone is willing to pay that
by hammock 3y ago
>Markets approximate an algorithm where you line up everyone who can do a job by willingness to do it, then pick the cheapest if someone is willing to pay that much.
That's an auction, not a market. Markets are two sided, there are differentiated (multidimensional) offers and bids that are seeking to get matched. Much more complex
- nly 3y agoThe difference is only one of time. At any given _instant_ in time there is a steady state where there is queue of people willing to buy and a queue of people willing to sell time. There are no market makers in the job market. What OP says is true
- zeroonetwothree 3y agoThe job market is full of market makers. For example contractor companies, any business providing services, etc
- airstrike 3y ago> That's an auction, not a market. Markets are two sided, there are differentiated (multidimensional) offers and bids that are seeking to get matched. Much more complex None of that necessarily invalidates the point that people are paid the minimum amount possible for a given pool of labor supply