Final answer:
The statement is true; licensure is indeed a form of credentialing that allows a person to legally practice certain professions. It helps establish quality in the labor market, signifying required education and testing. However, licensure can also restrict market entry and competition.
Step-by-step explanation:
Licensure is a form of credentialing that allows a person to legally practice specific skills within a profession. The statement that licensure is a form of credentialing that permits a person to practice specific skills under legal guidelines is true.
Occupational licenses, typically issued by government agencies, signify that a person has fulfilled certain educational requirements or passed professional examinations, providing a level of trust and establishing quality in the labor market.
Professions including doctors, teachers, nurses, engineers, and lawyers typically require licensure. Some occupations mandate licensing on a state level, like field archaeologists in Minnesota and furniture upholsterers in California.
It is important to recognize that while licensure establishes credibility and consumer protection, it also acts as a barrier to entry in certain industries, potentially leading to higher prices and reduced competition.