A Forecast of Labor Demand Is

question 20

Multiple Choice

A forecast of labor demand is:

• A)Based on an assessment of the availability of individuals in the labor force who are potential recruits of the firm.
• B)Proceeded by an inventory of individuals and jobs currently available within the firm
• C)Derived from a projection of how business/industry needs will affect human resources
• D)Inclusive of a forecast of resource availability both internal and externally available
• E)Considered one of the more trivial aspects of human resource planning

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Definitions:

Diseconomies of Scale

The phenomenon where, as a firm expands, its costs start increasing per unit of output, usually due to inefficiencies and management challenges that arise with size.

Diminishing Returns

A principle stating that as investment in a particular area increases, the rate of profit from that investment, after a certain point, cannot continue to increase and may decrease.

Natural Monopoly

A market structure where a single provider is more efficient in supplying the entire market with a product or service, due to high fixed or startup costs.