Answer to Question #98156 in Macroeconomics for annie

Question

Starting with 1980’s economists within the neoclassical school have increasingly emphasize the
necessity of having a flexible labor market. One of the characteristics of the flexible labor market is increased level of mobility between sectors and occupations. Write a factor that can increase this kind of mobility within the labor market.

Answer 1

Reducing barriers between industries and professions will increase inter-industry mobility. There are following obstacles: licensing of activity, legal regulation and trade union coverage.