The category "compensation of employees" doesn't capture the full income of labour because:
A) it doesn't include the earnings of proprietors.
B) it doesn't include benefits such as health insurance.
C) a sizable fraction of it can be attributed to the return on human capital.
D) it excludes payments in kind that are common in rural areas.

Question

Quizplus · Accepted Answer

Compensation of employees typically refers to wages and salaries paid to employees, excluding the earnings of proprietors who are self-employed and not classified as employees.

The Category "Compensation of Employees" Doesn't Capture the Full Income