Which of the Following Is True of an Efficiency Wage

question 60

Multiple Choice

Which of the following is true of an efficiency wage?

• A)It refers to the markup of the actual wage over the minimum wage.
• B)It refers to the wage paid to workers above their opportunity cost,which compels them to work harder.
• C)It refers to the wage paid to workers that minimizes total expenditure on labor costs.
• D)It measures the markup of wages paid to workers and their actual output.

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Definitions:

Inducing

The act of persuading or leading someone to undertake a certain action, often with implications in legal contexts like contracts or torts.

Fraud in the Execution

A situation where a person is deceived into signing a document without understanding its nature, existence, or contents.

Innocent Misrepresentation

A false statement made by someone who believes it to be true, which induces another party to enter into a contract.

Duress

A situation where a person performs an act as a result of violence, threat, or other pressure against the person.