Studies that try to measure the factors that explain wage differences have shown that:
A)influences on wage differences are found to be quite small
B)few factors are not explicitly measurable
C)measurable factors explain less than half of the variation in wages
D)effort and ability are not likely to contribute to large differences in wages

Question

Quizplus · Accepted Answer

Most studies have found that measurable factors such as education, experience, and occupation can explain only a portion (less than half) of the variation in wages. This suggests that other factors, such as discrimination, social networks, and luck, also play a role in determining wages.

Studies That Try to Measure the Factors That Explain Wage