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How wages are determined in a market economy

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An essay (with at least two APA formatted references) needed on how the two economic principles that include helping to explain how wages are determined in a market economy are and People Face Tradeoffs, and how Governments Can Sometimes Improve Market Outcomes they apply to the labor market for nurses.

o Cite the state and the URL of the Web site used in your research.
o Discuss which factors could influence the supply and demand of a nurse's position.
o Discuss how a nurse's pay is determined and how the salary is structured.
o Discuss what your chosen state can do to increase the supply of nurses.

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Using two economic principles that include helping to explain how wages are determined in a market economy

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In most markets wages are determined by supply and demand, e.g. if the need for a particular position is great, wages will rise in order to attract more workers to this field. Interestingly, for nurses this has not been the case. An analysis of this situation can be found in a report entitled "Solving the Nursing Shortage through Higher Wages" which can be found here:
http://www.valuecarevaluenurses.org/document.cfm?documentID=6

According to this research,
? Over the late 1990s and into 2000, nurses' pay did not increase at all, although some hospitals had already begun worrying about a nurse shortage in 1997.
? When wages finally began to rise, nurses responded promptly?hospitals added 186,500 nurses between 2001 and 2003.
? Instead of competing ...

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