How Does the Theory of Efficiency Wages Explain Above-Equilibrium Wages

Multiple Choice

How does the theory of efficiency wages explain above-equilibrium wages?

A) Employers are forced by competition to pay higher wages in efficient markets.
B) Employers give their workers a higher wage in the hope that it will lead to increased productivity.
C) Workers get higher wages when they prove they are increasing their productivity.
D) Workers demand higher wages to compensate for poor fringe benefits.