Samantha,the CEO of a corporation operating in a comparatively poor country where wages are low,decides to raise the wages of her workers even though she faces an excess supply of labor.Her decision
A)might increase profits if it means that the wage is high enough for her workers to eat a nutritious diet that makes them more productive.
B)will help eliminate the excess supply of labor if she raises it sufficiently.
C)may cause her workers to increase shirking.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

By raising the wages of her workers, Samantha may be able to ensure that they can afford a nutritious diet, which can increase their productivity. This, in turn, could lead to increased profits for the corporation. Option B is not necessarily true as there could be other factors contributing to excess supply of labor. Option C is also not necessarily true as raising wages could motivate workers to work harder, knowing they are being paid more fairly.

Samantha,the CEO of a Corporation Operating in a Comparatively Poor