Jake and Zach Are Identical Twins Who Attended Grammar School

question 90

Multiple Choice

Jake and Zach are identical twins who attended grammar school through college together. Jake took a job as an engineer who does not have to travel out of the state. Zach took a job as an engineer who must travel out of state once a week. Jake earns $125,000 a year, and Zach earns $155,000 a year. Select the best explanation for this wage difference.

• A)Zach puts in less effort than Jake.
• B)Zach has less human capital than Jake.
• C)Zach receives a higher wage to compensate for the disagreeable nature of business travel.
• D)Jake's lower salary supports the signaling theory of education.

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Definitions:

Grape

A small, round fruit, usually purple, green, or red, grown in clusters on vines, used for eating fresh or making wine.

Heuristics

Heuristics are mental shortcuts or rules of thumb that simplify decision making, often at the cost of accuracy or completeness.

Algorithms

Step-by-step procedures or formulas for solving problems or performing tasks.

Mnemonic Devices

Techniques used to help remember information, often through associations, patterns, or acronyms, facilitating easier retrieval from memory.