The typical relationship between a worker's productivity and the worker's wage rate is
A) high productivity workers receive low wage rates.
B) low productivity workers receive low wage rates.
C) no link between productivity and wages earned.
D) high productivity workers find that their jobs are often outsourced.
E) that workers with high productivity need to have their high wages protected by tariffs.

Question

Quizplus · Accepted Answer

Generally, there is a positive correlation between a worker's productivity and their wage rate. Workers who are more productive are typically rewarded with higher wages in order to incentivize them to continue their high level of productivity. Conversely, workers who are less productive may receive lower wages as there is less need for their services, and they may be replaced by more productive workers or automation. Therefore, high productivity workers generally receive higher wage rates.

The Typical Relationship Between a Worker's Productivity and the Worker's