Which of the Following Is a Pay Factor That Can

question 5

Multiple Choice

Which of the following is a pay factor that can lead to mandated pay scales?

• A) Inflation
• B) Cost of living
• C) Type of industry
• D) Presence of unions
• E) Current economic state

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Definitions:

Labor Demand Data

Information representing the quantity of labor that employers are willing and able to hire at different wage rates.

Labor Supply Data

Information and statistics related to the number of individuals available and willing to work at different wage levels in an economy.

Marginal Product

The additional output that results from the use of one more unit of a factor of production, keeping all other factors constant.

Monopsonist

A market condition where there is only one buyer for many sellers, giving the buyer significant power over prices and terms.