The wage differential between educated workers and uneducated workers in developing economies is typically:
A)unrelated to marginal productivity
B)larger than that which exists in developed economies
C)smaller than that which exists in developed economies
D)difficult to measure

Question

Quizplus · Accepted Answer

The wage differential between educated workers and uneducated workers in developing economies is typically larger than that which exists in developed economies. This can be attributed to the fact that there is a shortage of skilled and educated workers in developing economies, leading to an increased demand for these workers and subsequently higher wages. Additionally, education may be a more significant factor in determining productivity in developing economies, where technology and capital investment are less prevalent.

The Wage Differential Between Educated Workers and Uneducated Workers in Developing