Two arbitrage opportunities in the labor market
International talent
With remote work, globalization, and communication technology, it's pretty easy to work with people in other parts of the world. A lot of companies have realized this, but there's still a lag. There's insanely good talent in labor markets in other countries that is just as good or better than U.S. talent, but their wages are still way lower.
University talent
I had this realization when I was taking an exam for a finance class in college. There were like 500 kids taking the exam in this big auditorium. Students at a top business school doing complex investment calculations. And where did all that output go? Into the trash. The exams get graded and thrown away.
College students work campus jobs for $15/hour their senior year and then they graduate and all of a sudden companies are willing to pay them $50+/hour. There's an arbitrage opportunity to hire college students. And it's a win-win. The student makes more than they would at an on-campus job and the company pays less for the talent.