The United States has seen dramatic changes in the labor markets, due to the Covid pandemic. We are seeing a resurgence in unionization, as well as unprecedented wage growth in previously stagnate fields, such as transportation and retail. In addition, we are seeing some of the highest inflationary numbers in almost 50 years. These pressures are shifting the labor markets. Let us assume, that the supply of labor is inelastic, as is the supply of land (from chapter 12).

Which direction is the demand curve for labor shifting for trucking? Retail? Manufacturing? What happens to the price of labor for each of these shifts? Please explain your answers.

Book name (Microeconomics: Principles for a Changing WorldFifthEdition| 2020Eric Chiang)