Wage Differentials Due to Cross-Worker Differences in Human Capital

question 106

Multiple Choice

Wage differentials due to cross-worker differences in human capital

• A)are not justifiable on efficiency grounds.
• B)will persist in competitive equilibrium.
• C)are not an important source of observed wage differentials.
• D)are an example of economic distortions due to monopoly power.
• E)exist because of distortions in labour markets.

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