Why does high compensation (wages) with little or no output from the worker is bad for the economy? a. The internal justice is not satisfied. b. The external justice is not satisfied. c. The marginal productivity of labor does not equal the price. d. It causes inflation.

Why does high compensation (wages) with little or no output from the worker is bad for the economy? a. The internal justice is not satisfied. b. The external justice is not satisfied. c. The marginal productivity of labor does not equal the price. d. It causes inflation.

Economics Today and Tomorrow, Student Edition

1st Edition

ISBN:9780078747663

Author:McGraw-Hill

Publisher:McGraw-Hill

Chapter12: The American Labor Force

Section: Chapter Questions

Problem 24AA

See similar textbooks

Related questions

Q: What are the features of monopoly market?

A: Monopoly is a market where there is single seller who sells unique product in the market and can dis...

Q: Prices of gasoline change rapidly if something interrupts the oil supply. How responsive do you beli...

A: Answer: The price of gasoline changes rapidly if something interrupts the oil supply. But due to the...

Q: 10. Applying the rule of 78s to determine prepayment penalties Most installment loan contracts that ...

A: * SOLUTION :- (10) Based on the given information the calculations are shown below.

Q: Choose one of the following examples and explain whether you think that the government should ban th...

A: Banning any product is not the ultimate solution to any of the issue because it will create a situat...

Q: Provide a brief description (1-2 sentences) of the lag effect.

A: The lag effect describes the time lag between the policy apply and the actual effect of the policy o...

Q: How do property rights affect externalities and market failure? Do goods and services by definition ...

A: Answer-

Q: 1) Lorenz curve show the inequality in income distribution but it does not show a) the debts involv...

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any sp...

Q: What is different about ethics in a global or international context and ethics in a national context...

A: Ethics are referred to as those principles or rules which deal with the ethical and moral issues whi...

Q: Using the graph calculate the consumer surplus, producer surplus, and total surplus

A: Below is the diagram:

Q: Given demand function of the orange market P = 153 - 2Qp. You sell oranges at the price TK85. What i...

A: Given: P=153-2Qd Price=TK85

Q: In a simple economy, people consume only 2 goods, food and clothing. The market basket of goods used...

A: Here, it is given that the economy produces 100 units of good and 20 units of clothing at different ...

Q: In Monopoly at various output levels

A: To find : What is various output levels in monopoly.

Q: Consider the graph below where there are two pollution-abatement technologies (Old and New) availabl...

A: The total abatement cost refers to the cost of reducing environmental damages such as pollution. It ...

Q: Evaluate countries within the framework of the Kuznets Curve and Environmental Kuznetz Curve, taking...

A: The Kuznets curve is a fictitious curve that depicts the link between income disparity and per capit...

Q: The owner of a luxury motor yacht that sails among the 4000 Greek islands charges $580 per person pe...

A: Amount charged by the owner of a luxury motor yatch= $580 Number of people signed for cruise= 20 Let...

Q: There are n firms in a competitive industry. The market demand function is given by p = 10 – Q. A fi...

A: Introduction The market demand function has given as p = 10 - q so TR = p . q = (10 - q) q MR = 10 -...

Q: The supply of apples in Canada is made up of Canadian grown apples and imported apples. Initially, C...

A: Introduction Its answer is a) In the diagram, it has clearly shown that initial equilibrium where de...

Q: Identify which market structure the following products are likely to fall under based on the charact...

A: Market structure, basically refers to the structure that classify different industries according to ...

Q: Kelen and Chris produce rice and wheat. In an hour, Kelen can produce 1 unit of wheat or one unit of...

A: In one hour,Kelen can produce:1unit of wheat1unit of RiceChris can produce:2unit of Wheat3unit of Ri...

Q: pls solve this question within 20-30 minutes I'll give you multiple upvotes. Please obtain the same ...

A: There are many changes you can make to your home to increase its value. You may consider new landsca...

Q: . At the point of equilibrium of firm (under perfect competition)

A: To find : What happens at point of equilibrium of firm.

Q: In Game 1 below, the US and Iran are bargaining over the state of Iran’s nuclear program. The US mus...

A: Players: { US, Iran} Strategy US= { PC BD, PC AS, PS BD, PS AS} Strategy Iran= {AC BD, NE BD, AC RE,...

Q: Mechanix is a machine shop and a paper manufacturing plant gave it a P100,000.00 budget to fabricate...

A: The number of steel type that is bascially manufactured by mechanix is given by the: Budget = (weigh...

Q: The social exclusion approach implies that: a. people who are anti-social are anti-poor and hinder...

A: Social exclusion is a multi-faceted and complex process. This means lacking or being denied resource...

Q: Consider a firm which is perfectly competitive in both product and labour markets. Suppose the produ...

A: Production Function: Q=L(32-L) Marginal Product of Labor: MPL=32-2L Price of the output: p=$1.21 The...

Q: e. Expanded use of online payments reduces the amount of money people want to hold. The central bank...

A: Consider the below points: *Is curve shows the inverse relationship between the interest rate and ou...

Q: If a certain present value P is amortized into 10 equal payments, then the future worth F will alway...

A: Since you have posted multiple questions, as per answering guidelines, we are supposed to solve only...

Q: When a firm experiences increasing returns to scale a. its AFC will decrease. b. its AFC will incre...

A: Total cost (TC): - it is the sum of fixed and variable costs incurred in the production process. Ave...

Q: Quotas offer greater scope for corruption than tariffs. B. Quotas may not support inflationary pres...

A: To find : Whether the statement is true or false.

Q: What are the benefits of government setting and managing bank fees and rates?

A: Answer -

Q: protective measure, a quota is more effective than a tariff. B. A tariff seeks to discourage

A: To find : Whether the statement is true or false.

Q: (3) The French Government runs a budget deficit and finances it by borrowing $20 billion. Use the lo...

A: Loanable fund market shows the demand and supply factors affecting the funds availability in the mar...

Q: What are the Exclusions from CISG?

A: CISG stands for contracts for the international sale of goods. The CISG governs the contracts for th...

Q: Suppose that a consumer has $200 to spend on two goods: beer and pretzels. The price of beer is $6.0...

A: Given Price of beer (Pb)=$6 Price of pretzels (Pp)=$3 Pretzels are on x-axis and beer is on y axis....

Q: Why is well-functioning financial system is a critical ingredient in achieving long-run growth? It e...

A: Financial markets (such as those in which stocks or bonds are traded), securities (from bank CDs to ...

Q: 6. The market wage rates for male and female workers are $25 and $10 per worker, respectively. Outpu...

Q: TQM and Six Sigma why differed from japan to United States

A: One of the most significant breakthroughs in management methods has been the advent of Total Quality...

Q: You are the manager of Taurus Technologies, and your sole competitor is Spyder Technologies. The two...

A: Given; Cost function; C(Qi)=2Qi Demand function; P=650-3Q where; Q=Q1+Q2

Q: KUALA LUMPUR - The production of chickens in October was 52.05 million birds, but it dropped to 51.4...

Q: Suppose that a firm's marginal abatement cost function with existing technologies is MAC = 12 - E. ...

A: Given, With existing technology MAC = 12 - E With new technology, MAC = 6 - 0.5E As we know that, ...

Q: Proponents of free trade argue that that liberalisation of trade relationships between rich and poor...

Q: True or False 1. The future worth of a perpetuity from one (1) to n years is undefined because as n...

A: When talking about perpetuity, it is gheform of investms that is generally meant for infinite time.p...

Q: d) Calculate the Inflation Rates for years 2020 and 2021 based on the table below. Year CPI 2019 129...

A: Inflation rate refers to the percentage change in CPI of two years.

Q: In the "race to the bottom" scenario, profit-seeking multinational companies shift their production ...

A: The global race for environmental degradation is widely described as International for-profit compan...

Q: The economy of a country is characterized by the following equations: Aggregate consumption function...

A: aggregate consumption determines aggregate saving, because saving is defined as the portion of incom...

Q: Discuss 5 barriers to effective project planning in Zimbabwe

A: Project management: In the project management, project communication is very essenti...

Q: Find Nash equilibrium and equilibrium of dominant strategies. а. N A b. L C P (3;1) (2;3) (10;2) U (...

A: Answer -

Q: 1) Having food on the table would be a measure of a. capability's approach b. subsistence c. relat...

A: Capability's approach: This approach is given by Amartya Sen, according to this approach people will...

Q: Given, Q1 = (4437/32) - (P1/32) Q2 = (7961/35) - (P2/35) TC = 1045 + 12Q1 + 18Q2 Form the profit...

A: Since you have posted a ques with multiple subparts , I have solved the first one for you.

Q: PIX company is considering licensing a water treatment system. The company can purchase a one-year o...

A: Given, PIX Company is considering licensing a water treatment systemOne-year purchase : P150,000Lice...

Concept explainers

Market Equilibrium and Failure

The economy of a country or any place depends on the market demand and market supply of goods and services.

Question

Why does high compensation (wages) with little or no output from the worker is bad for the economy?

a. The internal justice is not satisfied.

b. The external justice is not satisfied.

c. The marginal productivity of labor does not equal the price.

d. It causes inflation.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Minimum-wage laws a. create unemployment. b. do not apply in states with right-to-work laws. c. affect highly-educated workers more than high school dropouts. d. cause labor shortages, which further raise wages above equilibrium.
d. Government imposes costly new regulations to make oil drilling a safer job.
Labor unions a. play a larger role in the current U.S. economy than in European countries such as Norway and Sweden. b. prefer to operate in states with right-to-work laws. c. are similar to cartels. d. attract a membership of about 25 percent of current U.S. workers.
Define intrinsic rewards. A. payment made to retired workers from an investment fund B. wages earned for working more than the normal allotted time in a workday C. reasons for a person to do something that are not based on wage or salary D. salaries earned by employees for being especially great at their j
The term refers to a practice in which employers decide to hire more workers than are required for efficient production. a. misallocation b. productivity c. efficiency d. unemployment
When is an employer forced to keep the labor cost low? A. When the product demand is inelastic. B. When the employer is in a competitive product market. C. When the rate of unemployment is low. D. When certain skills are essential for production.
Suppose high-wage workers are more likely than low-wage workers to move to a new state for a better job. a. Explain how this migration pattern can be due solely to differences in the distribution of wages. b. Explain how this migration pattern can take place even if the cost to move is greater for high-wage workers.
Which of the following is not a way that the government has influenced labor in the United States? A. Requirement that men and women should be paid the same amount for the same job B. Minimum wage law that sets the baseline for what employees can be paid C. Requirement that a private company cannot fire an employee without just cause D. Requirement that employers must treat all workers equally regardless of race, gender, or religion
An efficiency wage premium is a good way for a firm to reduce shirking if A. the cost of the higher wage is less than the value added from increased productivity. B. the cost of monitoring the employee is very low. C. the fired employees due to shirking can easily find a job with the same high wage premium. D. the employees are concerned that the firm may lay them off for cost reduction.
Surplus-value creates a further advantage for capitalists because: A. Capitalists are able to buy whatever they want B. Capitalists can use the surplus-value as capital for new ventures C. Workers lose their ability to organize D. None of the above
How do minimum wages affect wages, employment, and unemployment?
In what ways can people exercise their right to work and fair pay?