The Concept of "Wages" Includes the Following Items, Except

question 133

Multiple Choice

The concept of "wages" includes the following items, except

• A)direct money payments like salaries and commissions.
• B)bonuses and royalties.
• C)amounts spent by workers.
• D)fringe benefits like health insurance and paid leave.

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Definitions:

Marginal Product

The additional output that results from using one more unit of a particular input, while holding other inputs constant.

Average Product

The output obtained by dividing the total product by the number of units of the variable input used in production, ideally reflecting productivity per input unit.

Total Product

The total output or quantity of goods produced by a firm or economy at a given level of input.

Diminishing Returns

A principle stating that if one factor of production is increased while other factors are held constant, the incremental increases in output will eventually decrease.