Describe how the following situation illustrates one or more of the 10 principles of economics?
The first week in April, based on March data, economists made a prediction that there would be a robust growth in the United States Economy. During the first quarter, new jobs were created, wages increased by 2.4%, auto sales were up and the National Institute of Supply Management manufacturing index had turned positive.
Construction firms, likely aided by a warmer winter contributed to many of these newly created jobs. Retailers and healthcare providers were also contributors. There was an increase in the workforce, as more Americans were actively seeking work. Some states have approved measures to increase their minimum wages.
Jobs were cut in manufacturing. The mining industry, including the oil and gas drilling sectors, has cut jobs. This was due to a weak demand for coal and low oil prices.