Suppose That Airline Workers Are Laid Off During a Recession

question 248

Multiple Choice

Suppose that airline workers are laid off during a recession because of an unspoken agreement between airline workers and airline executives that wages will not be reduced. This example is consistent with the

• A) relative-wage explanation of unemployment.
• B) explicit contract explanation of unemployment.
• C) implicit contract explanation of unemployment.
• D) efficiency wage explanation of unemployment.

---

Definitions:

Job Performance

The extent to which an employee fulfills the duties, tasks, and responsibilities of their job role effectively.

Selection Process

The series of steps taken by an organization to recruit and hire qualified candidates from a pool of applicants, involving stages such as screening, interviewing, and testing.

Recruitment

The process through which the organization seeks applicants for potential employment.

Background Checks

The process of verifying the personal, financial, and criminal records of an individual, commonly used by employers as part of the hiring process.