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Before Implementation of Workers' Compensation Laws in the United States

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Before implementation of workers' compensation laws in the United States, employees were seldom paid for work-related injuries.The injured employee's ability to recover damages was hindered by the fact that even a negligent employer could use three common law defenses to disavow liability for workers' injuries.The _____ doctrine provided that an employee who knew, or should have known, of unsafe conditions of employment assumed the risk by remaining on the job.


Definitions:

Substitution Effect

The economic principle that as prices rise or incomes decrease, consumers replace more expensive items with less costly alternatives.

Dr. Pepper

A popular brand of carbonated soft drink, recognized for its unique blend of 23 flavors.

Utility-Maximizing

The economic principle where individuals or firms make choices that lead to the highest level of satisfaction or profit.

Satisfaction

The fulfillment or gratification of a need, desire, or appetite, often used in the context of consumer experiences with goods or services.

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