Internal Labor Markets May Contribute to Dynamic Efficiency By

question 24

Multiple Choice

Internal labor markets may contribute to dynamic efficiency by:

• A)paying younger workers more than their marginal revenue products
• B)paying older workers more than their marginal revenue products
• C)paying older workers less than their marginal revenue products
• D)paying each worker a wage equal to her marginal revenue product

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Definitions:

British Pounds

The currency of the United Kingdom, officially known as the pound sterling, used across England, Scotland, Wales, and Northern Ireland.

Exchange

The act of trading goods, services, or financial instruments, which can occur in a physical or virtual marketplace.

Current Account

A segment of a nation's balance of payments that comprises the balance of trade, net primary income, and net secondary income.

Deficit

The amount by which expenses or costs exceed income or revenues, especially in the context of government budgets.