Response to 'The Economic Impact of the Black Death"

       In the Fourteenth Century, the Black Death spread through Europe and took away the lives of one third of the European population.  Despite its demographic effects, this epidemic also had great socialeconomics impacts on the survivals.
       First of all, the population decline cause the labor supply to decrease. Accroding to the rule deminishing marginal returns, the marginal physical product would increase when the number of workers decreased. Therefore, the wages of workers increased during the Black Death period because in factor markets, the market wage should be equal to the marginal revenue of labor.
      

















Citation:
Routt, David. "The Economic Impact of the Black Death". EH.Net Encyclopedia, edited by Robert Whaples. July 20, 2008. URL http://eh.net/encyclopedia/article/Routt.Black.Death