Biology Forums - Study Force

Firm A offers the same pension to all workers, regardless of how many hours they work. Workers value the pension at $10,000 a year (and it costs Firm A $10,000 to provide the benefit). Firm B does not offer a pension but is like Firm A in all other job characteristics. The labor market is competitive and all workers have comparable skills. If there are workers in both jobs, then
A) workers that prefer working shorter hours are more likely to work for Firm B.
B) all workers will prefer working for Firm A.
C) all workers will be indifferent between working for Firm A and Firm B.
D) workers that prefer working long hours are more likely to work for Firm B.

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