In equilibrium, the markets for hours of labour must clear in both sectors, giving rise to equilibrium wages for these sectors. However, while in the short run, the hours supplied may equal the hours demanded, this need not mean that, in the long mn, all those who are dedicated to the skilled or the unskilled sectors in terms of human capital are necessarily fully taken up by these sectors (i.e., there need not be full employment). However, a significant number of unskilled workers (equal to the distance between points L and N) are unemployed.