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The Substitution Effect Makes Workers Want to Work Less When

question 152

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The substitution effect makes workers want to work less when the wage increases.


Definitions:

Operant Conditioning

A learning process by which the strength of a behavior is modified by reinforcement or punishment.

Unconditioned Response

A natural, automatic reaction to a stimulus that occurs without any need for prior learning or conditioning.

Conditioned Response

is a learned reaction to a previously neutral stimulus that has become associated with an unconditioned stimulus through conditioning.

Pavlov

A Russian physiologist best known for his work in classical conditioning, particularly the concept of the conditioned reflex using dogs.

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