Refer to the Figure Above

question 25

Multiple Choice

Refer to the figure above. If the labor market works efficiently and workplace standards are managed such that each firm manages risk individually (there is not a set standard) then

• A) the wages in high exposure jobs will be lower than those high exposure risk jobs.
• B) the wages in high and low risk jobs will be equal, which is inefficient.
• C) the wages in low exposure risk jobs will be higher than those in high exposure risk jobs.
• D) the labor. market will compensate workers experiencing higher risk with higher wages.

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