Dennis Wong

You have reminded me about the law of demand I learnt in middle school. But I am not sure whether your conclusion can be evidenced in any scientific research, I mean not in pure logic sense but in reality. Can the law of demand be applied in every situation?

It seems that you are disfavor any government interventions of the labour market. Well, from the place I live in, Hong Kong, which has been acclaimed as the "freest market" in the world since 1980s, imposed minimal wage laws a year ago. Our people have different opinions about that. But I think the minimal wage laws are a good thing mainly because the money they earn more helps them to better develop/educate themselves and their descendants. In the past, as they want to make a living, they did very low-paid jobs and the money they earned actually could not help them to further develop/educate themselves and their children. Now, they earn more, they can use the money to develop themselves.

Haha, I am interested in unemployment mainly because I am amazed by the extremely high unemployment rates in the Europe nowadays. And, in fact, in many decades, politicians and economists have been trying their best to solve this problem but it seems that not many of them succeed. You know, having no jobs is a really a big matter to every family. If we can find out ways to solve this big problem, it would be a great discovery!

Oh, I now understand why unemployment happens. According to your explanation, unemployment is a result of "surplus" of labour in some fields or professions. Then, how can a government solve the problem? It seems that there are only two approaches: Give the "surplus" labour retraining so that they can supply other fields with demand or change the people's values towards something so that more people are willing to hire the labour? Is my deduction correct?

I am a novice in Economics. In many countries, unemployment is a big issue such that governments need to pay a lot of attention to come up with a lot of solutions to solve it. When I think about this, I am wondering about the process of job creation. From historical points of view, how were jobs created? I am not talking about the job creation in modern cities. Rather, I want to know how was a job created in agricultural era. Do you think this inquiry can help us find out the solutions for unemployment?