A wage rate above what is necessary to attract a sufficient number of workers is known as a(n)
A)inefficient wage
B)market-clearing wage
C)efficiency wage
D)marginal productivity wage
E)minimum wage

Question

Quizplus · Accepted Answer

An efficiency wage is a wage rate above what is necessary to attract a sufficient number of workers. This can motivate workers to be more productive and reduce turnover, ultimately leading to cost savings for the employer.

A Wage Rate Above What Is Necessary to Attract a Sufficient