Question: ect Question 4 0 A strong positive relationship is observed between firm size and wage. Two possible explanations for this relationship are that 1) employees

ect Question 4 0 A strong positive relationship
ect Question 4 0 A strong positive relationship is observed between firm size and wage. Two possible explanations for this relationship are that 1) employees in larger organization are more difficult to monitor and that 2) larger organizations tend to be more profitable. 1) is related to the concept of (a). 2) is related to the concept of (b) (a) efficiency wage theory, (b) compensating wage differentials (a) efficiency wage theory. (b) rent sharing model Garent sharing model. (b) efficiency wae theory compensating wage differentials. (b) ratshiring model

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