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The efficiency wage is: (Multiple Choice)

nakungth

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The efficiency wage is: (Multiple Choice)

The efficiency wage is
A) a wage at which there is no unemployment, and shirking workers are not counted in the pool of total labor.
B) a wage at which there is a positive amount of unemployment. Individuals who are fired for shirking will be penalized with a period of unemployment.
C) a wage at which there is a shortage of labor. Firms who fire a worker for shirking will be able to hire another one easily.
D) the wage that is paid to high-quality, non-shirking workers. Other workers are paid the market-clearing wage.
E) the wage that subtracts the cost of shirking from the market-clearing wage to determine that which is really paid.

Textbook

Microeconomics

Edition: 8^th

Author: Pindyck

Read 170 times

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Canih

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More solutions for this book are available here

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nakungth Author

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