Final answer:
The relationship between labor demanded, labor supplied, and pressure on wages is determined by the interaction of supply and demand curves in the labor market.
Step-by-step explanation:
Relationship between Labor Demanded, Labor Supplied, and Pressure on Wages:
In the labor market, the demand for labor is determined by employers and represents the number of jobs available. It is a downward sloping curve, meaning that as wages increase, the quantity of labor demanded by employers decreases. The supply of labor, on the other hand, is determined by individuals and represents the number of people seeking jobs. It is an upward sloping curve, meaning that as wages increase, the quantity of labor supplied increases.
When the demand for labor exceeds the supply, there is a shortage of labor which leads to upward pressure on wages. In contrast, when the supply of labor exceeds the demand, there is a surplus of labor which leads to downward pressure on wages. Therefore, the relationship between labor demanded, labor supplied, and pressure on wages is determined by the interaction of these two curves in the labor market.