What Is One Reason Why an Efficiency Wage Leads to Greater

question 59

Multiple Choice

What is one reason why an efficiency wage leads to greater worker productivity?

• A)Earning more than the market wage gives workers an incentive to stay with the firm.
• B)An efficiency wage deters workers from trying to start a union.
• C)Due to competition for jobs, firms pay less overall for a worker in the long run.
• D)An efficiency wage is set right at market equilibrium, which creates an efficient labor market.

Understand the necessity of reports in business and how report types and frequency vary based on job roles and organizational context.

Maintain consistency in report formatting through understanding of parallelism and heading structures.

Utilize various division strategies effectively based on the nature of the report content.

Understand the distinction between different types of numbering in business reports.

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Definitions:

Competing Firms

Businesses that operate in the same market and offer similar products or services to the same consumer base, often engaging in competition for market share.

Intense Market Competition

A market characteristic where numerous firms vie aggressively for market share, leading to innovations and competitive pricing.

Producer Surplus

The difference between the amount producers are willing and able to sell a good for and the actual amount they receive by selling it at the market price.

Price Level

The average of the current prices of goods and services in an economy, which can be compared over time to assess inflation or deflation.