The excess supply of labour and the corresponding excess demand for commodities (of the same market value) show State 4 to be a disequilibrium state.
This brings us to State 3 where, as in the Table, the excess supply of labour times the money wage rate (w) equals the excess demand for money in value.
In fact, many of his biggest troubles as prime minister have derived from an excess of New Labour orthodoxy.
"We need to go forward now from the age of excess under Labour.
Labour's historical difficulties notwithstanding, it is generally supposed that the Conservatives are more vulnerable to tales of banking excesses than is Labour.
After a wave of public revulsion at the excesses of corrupt bankers, the Labour party has enjoyed a landslide victory under a far-left leader.
Nick Clegg has urged the British people to put the Liberal Democrats back in government in 2015 to curb the excesses of the Tories or Labour.
More specifically, migration pressure is indicated by the presence of excess labour supply, which is measured in terms of the size of the non-employed population of working age.
Back in 1882, Knut Wicksell, a Swedish economist, argued that emigration would eventually rid his country of paupers, because poverty was an effect of excess labour and insufficient land.
As a result, firms are willing to substitute low-educated workers by capital, to outsource part of their activities to cheap-labour countries and (especially in the case of excess labour supply) to hire more educated workers as their productivity to wage cost ratio is more favourable.6.6
To put it differently, there might be some cyclical 'crowding out', namely a process by which during recessions because of excess labour supply—highly educated workers take the jobs that could be occupied by less-educated ones.
