Wage Differentials That Arise Because of Innate Differences in Ability

question 215

True/False

Wage differentials that arise because of innate differences in ability or talent are consistent with the marginal productivity theory of income distribution.

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Definitions:

Latent Functions

Purposes and activities that are unintended, unrecognized, and not immediately obvious.

Manifest Functions

Purposes and activities that are intended, recognized, and clearly evident.

Expressive Functions

The social and emotional roles that contribute to the cohesion and emotional well-being of a family or group, serving to nurture and maintain interpersonal bonds.

Instrumental Functions

refers to specific roles or tasks within a system or society that are aimed at achieving goals or meeting needs, often practical or resource-related in nature.