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The efficiency wage is: (Multiple Choice)

Satsume

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6 years ago

The efficiency wage is: (Multiple Choice)

The efficiency wage is
A) lower than the market-clearing wage, to penalize shirking.
B) higher than the market-clearing wage, to penalize shirking.
C) lower than the market-clearing wage, to allow managers the resources to monitor shirking.
D) higher than the market-clearing wage, to reward workers for informing on others who shirk.
E) lower than the market-clearing wage, because of shirking done by managers.

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Microeconomics

Edition: 8^th

Author: Pindyck

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Satsume Author

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Thanks

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Just got PERFECT on my quiz

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Helped a lot

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