Compensating premiums for job-related risks are normally paid (ceteris paribus) in the form of:
A) longer coffee breaks at Tim Hortons.
B) higher degrees of job security.
C) higher wages.
D) time off the job with pay.
E) certificates of appreciation for working at a tough job.

Question

Quizplus · Accepted Answer

Compensating premiums for job-related risks are typically paid in the form of higher wages to compensate employees for the additional risks they take on by working in more hazardous or demanding jobs. This is based on the economic principle of compensating differentials, where workers are compensated extra for jobs that are less desirable or more dangerous.

Compensating Premiums for Job-Related Risks Are Normally Paid (Ceteris Paribus)