refer to the following diagram
-Which one of the following best explains the differences in the isoprofit curves of the two firms?
A)X has lower profits than Y because X is paying higher wages
B)X has higher profits than Y because X's high wages attract workers who are less relaxed and thereby less likely to shirk on the job
C)X pays a higher cost than Y for providing additional informality
D)Y pays a higher cost than X for providing additional informality

Question

refer to the following diagram
-Which one of the following best explains the differences in the isoprofit curves of the two firms?
A)X has lower profits than Y because X is paying higher wages 
B)X has higher profits than Y because X's high wages attract workers who are less relaxed and thereby less likely to shirk on the job 
C)X pays a higher cost than Y for providing additional informality 
D)Y pays a higher cost than X for providing additional informality

Quizplus · Accepted Answer

The Answer of refer to the following diagram
-Which one of the following best explains the differences in the isoprofit curves of the two firms?
A)X has lower profits than Y because X is paying higher wages 
B)X has higher profits than Y because X's high wages attract workers who are less relaxed and thereby less likely to shirk on the job 
C)X pays a higher cost than Y for providing additional informality 
D)Y pays a higher cost than X for providing additional informality

Refer to the Following