Which of the following is true of efficiency wages?
a. It encourages workers to enroll in training programs.
b. It creates less worker turnover
c. It reduces the marginal productivity of workers.
d. It increases workers' demand for leisure.
b
You might also like to view...
Suppose the production of a good results in positive externalities. If output occurs at the intersection of the marginal social benefits curve and the supply curve, then
A. output will be at the socially optimal level. B. the price of the product will be the same as it was when all benefits were not taken into account. C. more output will be produced than if all benefits were not taken into account. D. a and c E. a, b, and c
The price of a new textbook is $120 in one year and is $150 two years later, while the price of a used copy of the text increased from $40 to $60. The relative price of a new textbook
A) increased from 3 to 4.5. B) decreased from 0.8 to 0.67. C) decreased from 3 to 2.5. D) remained constant.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4Refer to Figure 2.4. The economy moves from Point E to Point B. This could be explained by
A. a change in society's preferences for hybrid cars versus motorcycles. B. an increase in economic growth. C. an increase in unemployment. D. a reduction in unemployment.
If a society is producing at a point along its production possibility frontier, then the society
A. is underallocating resources so it must be inefficient. B. is fully employing its resources so it must be achieving output efficiency. C. is fully employing its resources, but not necessarily achieving output efficiency. D. is overallocating resources so efficiency is indeterminate.