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    Microeconomics Study Set 23
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    Exam 19: Behavioral Economics
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    In the Efficiency Wage Theory of Labor, an Increase in Wages
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In the Efficiency Wage Theory of Labor, an Increase in Wages

Question 3

Question 3

Multiple Choice

In the efficiency wage theory of labor, an increase in wages is justified by a resulting:


A) increase in the workers' standard of living.
B) increase in the attractiveness of the work environment.
C) increase in productivity and the desire to work harder.
D) all of the above.

Correct Answer:

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