According to the value-added concept, wages paid to the employees should be equal to their contribution of labor to the final product.

Question

Quizplus · Accepted Answer

The value-added concept states that wages paid to employees should be proportional to the value they add to the final product through their labor input. This means that if an employee contributes more to the product's value, they should receive a higher wage. Therefore, the value-added concept supports the idea that wages should be equal to the contribution of labor.

According to the Value-Added Concept, Wages Paid to the Employees