The Fact That Members of Labor Unions Often Have Higher

question 321

True/False

The fact that members of labor unions often have higher wages than workers who are not members of a union is proof that the marginal productivity theory of income distribution is not valid.

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Definitions:

Rational Individual

Refers to a person who makes choices that maximize their personal benefit or utility, based on their own preferences and available information.

Charity

An act of giving help, typically in the form of money or goods, to those in need.

Predicts Well

"Predicts well" refers to the accuracy and reliability with which a model or method can forecast future events or outcomes based on current or past data.

Economic Model

A simplified representation of economic processes, typically using mathematical formulas or graphs, to understand and predict economic behaviors.