In economics, _____ is (are) used to motivate employees and to reduce worker turnover.

Question

Quizplus · Accepted Answer

Efficiency wages are higher than market wages and are used to incentivize employees to work harder and reduce worker turnover. This occurs because employees will be motivated to maintain their higher-paying jobs and will work harder to avoid being fired. Ability, talent, and experience are all important factors in determining an employee's productivity and market value, but they do not necessarily motivate employees or reduce turnover on their own. Choice of occupation is also important in determining an employee's market value but is not directly linked to motivation or turnover.

In Economics, _____ Is (Are) Used to Motivate Employees and to Reduce