In Order for the Compensating Differential Associated with a Risky

question 25

Multiple Choice

In order for the compensating differential associated with a risky job to be negative (so that a risky job pays less than a nonrisky job) , it must be that

• A) many workers are willing to work the risky job for free.
• B) most workers prefer the risky job to the safe job when both wages are equal.
• C) the number of risky jobs is less than the number of workers who prefer the risky job.
• D) there is great demand for labor in both sectors.
• E) the government mandates that the wages in the two sectors be equal.

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Definitions:

Nutritional Levels

Refers to the concentration and balance of nutrients in the body or in a specific diet.

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Chemical compounds containing carbon, typically found in living organisms or derived from them.

Plant Foods

Foods derived from plants, including vegetables, fruits, grains, nuts, and seeds.

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Edible products derived from animals, including meat, poultry, seafood, dairy products, and eggs, consumed by humans for nutrition.