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+1 vote
2.8k views
in Economics by (106k points)

Why are the wages for farm labourers in Palampur less than minimum wages?

1 Answer

+1 vote
by (106k points)
 
Best answer

There is more supply of workers than the demand. Due to this, the workers are not in a position to bargain from their employers. Hence, the wages for farm labourers are less than minimum wages.

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