The hypothesis of equal net advantage explains why
A)two workers doing the same job in the same office are sometimes paid different wage rates.
B)higher wages must be paid to entice workers to accept less desirable occupations or a less desirable location.
C)the supply of unskilled labour in Canada is as great as it is.
D)a hard-working employee may get paid less than other employees.
E)lower wages are paid to workers with less qualifications.

Question

Quizplus · Accepted Answer

According to the hypothesis of equal net advantage, workers require a higher wage to compensate for working in less desirable occupations or locations. Therefore, option B is the best choice as it directly relates to this hypothesis. The other options may have other explanations.

The Hypothesis of Equal Net Advantage Explains Why