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Figure 19-1 -Refer to Figure 19-1. Suppose the Local Labor Market Was

question 485

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Figure 19-1 Figure 19-1   -Refer to Figure 19-1. Suppose the local labor market was in equilibrium to begin with but then the largest local employer decided to change its compensation scheme to $8 as shown. Which of the following compensation schemes could the graph be illustrating? A) An efficiency wage. B) Discrimination. C) A compensating differential. D) The superstar phenomenon.
-Refer to Figure 19-1. Suppose the local labor market was in equilibrium to begin with but then the largest local employer decided to change its compensation scheme to $8 as shown. Which of the following compensation schemes could the graph be illustrating?


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