Inga and Ron Both Work for the Same Firm on the Same

Multiple Choice

Inga and Ron both work for the same firm on the same career ladder. Each has the same stock of human capital except for one difference: Inga has worked at the firm for 10 continuous years but Ron has had two leaves of absence mixed in with his 10 years of experience with the firm. One should expect:

A) Inga and Ron to earn the same income.
B) Ron to earn more than Inga.
C) Inga to earn twice as much as Ron.
D) Inga to earn more than Ron.