Market Failure Caused by Supply Inflation of Labor Force and Its Rectification

The market economy system disposes social resources effectively through market. The essencial factors of production acquire price equilibrium through the relation between supply and demand. However, the market is not all-powerful, and it will be failed sometimes. The information asymmetry, the powerful market influence of the labor force demander and the too strong employment psychological stress result in the supply inflation of the labor force market, and then cause the failure of labor force market within a certain scope. The government should take the heavy load to rectify this market failure.