Which of the Following Is an Example of a Compensating

question 183

Multiple Choice

Which of the following is an example of a compensating differential?

• A)Paying workers with more years of experience higher wages than workers with fewer years of experience, all else equal
• B)Paying workers who work on the day shift lower wages than workers who work the night shift, all else equal
• C)Paying accountants who have passed the Certified Public Accountant exam higher wages than accountants who have not passed it, all else equal
• D)Paying workers who have a higher educational attainment level higher wages than workers with less education, all else equal

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Definitions:

Capturing

The act of taking control of or obtaining something through force or strategy.

Drive-Reduction

A motivational theory suggesting that behavior is an attempt to reduce drives caused by needs or stress, restoring a state of balance.

Instinct

A natural and usually unchangeable behavior pattern in animals triggered by specific signals.

Cognitive

Relating to, being, or involving conscious intellectual activity such as thinking, reasoning, or remembering.