The president of the United States receives an annual salary of $400,000, while some top baseball players
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The president of the United States receives an annual salary of $400,000, while some top baseball players earn more than $30 million annually.
a. Based on marginal productivity theory, what does this say about their contributions to society?
b. What qualifications to your answer might you suggest about their relative contributions, and what do your adjustments have to say about marginal productivity theory?
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a According to marginal productivity theory individuals are compensated based on the marginal contri...View the full answer
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