Skilled versus unskilled labor markets Consider the labor markets for unskilled workers and skilled workers in the United States. Suppose you read the following newspaper headline: "The U. S. Department of Education Issues Report on Increased Productivity Effects of a College Education, but College Enrollment Remains Constant." The previous scenario primarily affects the labor market for workers.

Skilled Workers.

Explanation:

Skilled workers refers to those with the skills and abilities required to work in their various tasks. Often these skills are gained from tertiary level institutions such as Universities, Colleges or Technical Schools.

When the report speaks of how having a college education leads to increased productivity, it is targeting skilled workers who as the definition states, have probably gone to College or Universities and the like.

This report will increase the labour market for skilled college education holders as companies might want to hire them more to gain from the reported increased productivity.

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