An employee gains work experience by staying in a job for a long period of time. What would an economist expect to happen to this employee's wages?

Question

Quizplus · Accepted Answer

According to the human capital theory, as employees gain more experience they become more productive and more valuable to the company. This increased productivity should result in higher wages. Therefore, an economist would expect an employee's wages to increase as they gain more experience.

An Employee Gains Work Experience by Staying in a Job