A compensating differential is an:
A)adjustment to wages that compensates for lost work due to the use of robotics.
B)adjustment to work hours that allows low-wage employees to earn more.
C)difference in wages that offsets the desirable or undesirable aspects of a job.
D)difference in wages that adjusts for differences in worker productivity.

Question

Quizplus · Accepted Answer

A compensating differential is a difference in wages that offsets the desirable or undesirable aspects of a job. For example, hazardous working conditions or a long commute may require employers to offer higher wages to compensate for the added difficulties of the job.

A Compensating Differential Is An