Which of the Following Is Not a Reason That Paying

question 16

Multiple Choice

Which of the following is not a reason that paying efficiency wages may increase a firm's profit?

• A)Efficiency wages increase worker health and therefore increase worker productivity.
• B)Efficiency wages decrease worker turnover and therefore decrease hiring and training costs.
• C)Efficiency wages decrease worker shirking and therefore increase worker productivity.
• D)Efficiency wages are below the equilibrium wage rate but still attract a sufficient number of workers.

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