Michael Spence Posits That High-Ability Workers Are Able to Choose

question 4

Multiple Choice

Michael Spence posits that high-ability workers are able to choose just the right amount of education to signal that they are high-ability because:

• A) high-ability workers find it less costly to acquire education than low-ability workers.
• B) high-ability workers have greater productivity gains from education than low-ability workers.
• C) employers value education in and of itself.
• D) high-ability workers enjoy school more than low-ability workers.
• E) low-ability workers value leisure more than high-ability workers.

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Definitions:

Sunlight

The natural light that comes from the sun, which is a combination of visible, ultraviolet, and infrared radiation.

Rainfall

The precipitation of water from clouds in the form of droplets, a crucial component of the water cycle that supports terrestrial life.

Reproduction

The biological process through which new individual organisms are produced by their parents.

Secondary Xylem

The part of the plant vascular system that transports water and nutrients from the roots to the shoots and leaves, typically forming wood in trees.