According to the free market and classical models of corporate social responsibility, individual bargaining between employees and employers would be the best approach to workplace health and safety. Which statement does not support this approach?
A)Employees are perfectly free to decide what level of risk they are willing to accept for a corresponding level of wages.
B)In a competitive free market, individual bargaining would result in the optimal distribution of safety and income.
C)The means the market uses to gather information about risks is by observing the harms done to the first generation exposed to imperfect market transactions and market failures.
D)The threat of compensatory payments acts as an incentive for employers to maintain a reasonably safe and healthy workplace.

Question

Quizplus · Accepted Answer

Statement C does not support the approach because it implies a reactive rather than proactive approach to workplace safety, relying on observing harm after it occurs rather than preventing it through individual bargaining.

According to the Free Market and Classical Models of Corporate