SOC227H5 Lecture Notes - Lecture 5: Labor Market Segmentation, Human Capital, Social Capital
Document Summary
High school teachers or engineers earn more than retail salesclerk because they have invested in extra years of education that has led to more skilled and responsible jobs. Labor market is where employers seek to purchase labor from potential employees who are seeking jobs suitable to their education, experience, and preferences. Workers exchange their skills, knowledge and loyalty in return for pay, status, career opportunities and job rewards. Institutions, families and school prepare individuals in the labor market. According to human capital theory, jobs requiring more effort, training and skill receive greater rewards. 135 the human capital model of labor market processes. Jobs with specific requires would be filled by individuals most suited for these position. Having an advanced education, then it would be only reasonable that workers with more education should obtain the better jobs. These are the basic premises of human capital theory, and how today"s labor market operates.
