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Troyanec
1 month ago
10

A small college employs two economists. Rob has been employed by the college for 15 years and Bill has been employed for one yea

r. Rob's salary is significantly higher than Bill s, despite the fact that they both have doctoral degrees in economics. Each professor averages one publication per year and both are excellent teachers. Given this information, the wage difference is best explained by: A. compensating differentials. B. discrimination. C. differences in human capital. D. differences in talent. E. efficiency wages.
Business
1 answer:
soldi70 [3.1K]1 month ago
5 0

Answer:

E. efficiency wages

Explanation:

This situation does not represent discrimination, as Rob has a solid history with the company (15 years). Even though their productivity levels might seem comparable, Rob’s extensive experience warrants the higher compensation.

This exemplifies the efficiency wage hypothesis, which posits that higher salaries can enhance employee productivity. Consequently, this creates an incentive for Rob to remain with the company.

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Answer:

-4 units

Explanation:

Applying the midpoint method, Blake's income elasticity of demand for generic potato chips is determined by multiplying the change in demand (D) by his average income (I), then dividing by the product of the change in income and average demand:

E=\frac{\Delta D}{\Delta I}*\frac{I_{avg}}{D_avg}\\E=\frac{0-2}{15-9}*\frac{\frac{9+15}{2}}{\frac{2+0}{2} }\\E=-4\ units

Thus, Blake's income elasticity of demand equals -4 units.

8 0
1 month ago
20% of your income is meant for your savings, investments, and payments to reduce debt. What are the potential risks of having a
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soldi70 [3139]

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Based on the provided question, the greenfield investment method is instrumental in establishing new operations in Indonesia, thus representing a type of foreign direct investment.

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D) is the correct option
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