What Is the Most Likely Result of Efficiency Wages

question 4

Multiple Choice

What is the most likely result of efficiency wages?

• A) reduced labour-force participation rates
• B) reduced natural rate of unemployment
• C) reduced incentive to shirk responsibilities
• D) increased worker turnover

---

Definitions:

Hydraulic Theory

A theory that suggests the control and management of water resources played a crucial role in the development of early civilizations.

Occupation Site

A location where evidence of past human activity is found, indicating the presence of work, living, or ceremonial spaces.

Hydraulic Theory

A theory suggesting that the development of states in ancient civilizations was closely related to the control of irrigated farming over arid lands.

Action Theory

The theory that self-serving actions by forceful leaders play a role in civilization's emergence.