Which of the Following Supply-Side Theories Is Based on the Premise

question 30

Multiple Choice

Which of the following supply-side theories is based on the premise that higher earnings flow to those who improve their potential productivity by investing in themselves?

• A)compensating differentials theory
• B)signalling theory
• C)efficiency wage theory
• D)human capital theory
• E)reservation wage theory

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Definitions:

Stimulants

Psychoactive drugs that result in an altered state of consciousness by increasing behavior and mental activity.

Antisocial Personality Disorder

A mental health disorder characterized by a long-term pattern of manipulation, exploitation, or violation of others' rights.

Therapeutic Relationship

The professional relationship between a therapist and a client, which is crucial for effective therapy and involves trust, rapport, and mutual respect.

Mood-Stabilizing Drugs

Medications used primarily to treat mood disorders and to prevent mood swings in conditions such as bipolar disorder.