Structural Unemployment
What is a potential benefit of paying efficiency wages for employers?
Increased worker productivity
Reduced labor costs
Lower wages overall
Higher employee turnover
Increased worker productivity
How can higher wages contribute to better worker health?
By allowing workers to spend more on healthcare and nutrition
By limiting access to stressful jobs
By reducing the number of hours worked
By decreasing the need for physical labor.
By allowing workers to spend more on healthcare and nutrition.
The workers have more income so, they have more $ to spend on themselves and prioritize their wellbeing.
How can higher wages improve labor quality?
By increasing the number of job applications
By attracting more skilled and educated workers
By lowering the job requirements
By reducing the training costs for employers.
By attracting more skilled and educated workers
What effect do efficiency wages have on the need for employer monitoring?
They reduce the need for constant monitoring.
--> Workers have an incentive to perform well to retain high-paying jobs.
What role do unions play in wage bargaining?
They increase the negotiating power of workers.