Which of the Following Is Not an Example of a Compensating

question 324

Multiple Choice

Which of the following is not an example of a compensating differential?

• A)paying workers who do dull, boring work higher wages than workers who do fun, interesting work, all else equal
• B)paying workers who work on the night shift higher wages than workers who work the day shift, all else equal
• C)paying workers who do more dangerous work higher wages than workers who do less dangerous work, all else equal
• D)paying workers with PhDs higher wages than workers with BAs, all else equal

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Definitions:

General Partnership

A business structure where two or more individuals own and operate a business in partnership, sharing profits, losses, and liabilities.

Leveraged Buyout

The acquisition of another company using a significant amount of borrowed money to meet the cost of acquisition.