« previous next »

Author Question: What is an efficiency wage and what effect does it have in the labor market? What will be an ... (Read 39 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?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

The Romans did not use numerals to indicate fractions but instead used words to indicate parts of a whole.

Did you know?

The strongest synthetic topical retinoid drug available, tazarotene, is used to treat sun-damaged skin, acne, and psoriasis.

Did you know?

In 1835 it was discovered that a disease of silkworms known as muscardine could be transferred from one silkworm to another, and was caused by a fungus.

Did you know?

People often find it difficult to accept the idea that bacteria can be beneficial and improve health. Lactic acid bacteria are good, and when eaten, these bacteria improve health and increase longevity. These bacteria included in foods such as yogurt.

Many types of edible fungi are grown for the market. Many types of edible fungi are grown for the market.
The fact that a mother works outside the home has no negative effect on the well-being of her child ... The fact that a mother works outside the home has no negative effect on the well-being of her child ...
Indentured Labor from Asia Indentured Labor from Asia
Effect of a catalyst on activation energy Effect of a catalyst on activation energy
Greenhouse Effect Greenhouse Effect
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: Cellular defenses (natural killer cells, phagocyte types & process of phagocytosis)

For a complete list of videos, visit our video library