« previous next »

Author Question: What is an efficiency wage and what effect does it have in the labor market? What will be an ... (Read 44 times)

nenivikky

  • Hero Member
  • *****
  • Posts: 516
on: Jun 29, 2018
What is an efficiency wage and what effect does it have in the labor market?
 
  What will be an ideal response?

Question 2

Economic growth is slow or absent in some economies because those lack
 
  A) political freedom.
  B) democracy.
  C) a strong government.
  D) cultural freedom.
  E) economic freedom.


Hdosisshsbshs

  • Sr. Member
  • ****
  • Posts: 315
Reply #1 on: Jun 29, 2018
Answer to Question 1

An efficiency wage rate is a wage that is set by a firm above the equilibrium wage rate in order to motivate the firm's workers to work hard. The idea is that workers will work hard in order to keep their jobs because they know that if they are fired the (equilibrium) wage rate they are likely to get at a new job will be less than the efficiency wage. An efficiency wage is one of the factors that push the wage rate above its equilibrium and thereby create unemployment.

Answer to Question 2

E


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

nenivikky

  • Hero Member
  • *****
  • Posts: 516
Reply #2 on: Jun 29, 2018
Thank you :)


Hdosisshsbshs

  • Sr. Member
  • ****
  • Posts: 315
Reply #3 on: Jun 29, 2018
Happy to help you


« previous next »
 

Did you know?

Everyone has one nostril that is larger than the other.

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

Did you know?

Never take aspirin without food because it is likely to irritate your stomach. Never give aspirin to children under age 12. Overdoses of aspirin have the potential to cause deafness.

Did you know?

IgA antibodies protect body surfaces exposed to outside foreign substances. IgG antibodies are found in all body fluids. IgM antibodies are the first type of antibody made in response to an infection. IgE antibody levels are often high in people with allergies. IgD antibodies are found in tissues lining the abdomen and chest.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

The greenhouse effect. The greenhouse effect.
Effect of stimulus strength on size of graded potential. Effect of stimulus strength on size of graded potential.
Doppler Effect, Observer Moving Doppler Effect, Observer Moving
Stages of labor. Stages of labor.
Factors Affecting Saturation and Condensation: Effect of Curvature Factors Affecting Saturation and Condensation: Effect of Curvature
The ancestral and modern-day tomato. (b) Phenotypic effect of the fw2.2 transgene in the tomato The ancestral and modern-day tomato. (b) Phenotypic effect of the fw2.2 transgene in the tomato
Video: Energy Flow - Trophic Levels and Food

For a complete list of videos, visit our video library