According to the indifference principle,in the long run if being a teacher is more desirable than being a garbage collector,
A)teachers would be paid a relatively higher salary than garbage collectors
B)teachers would be paid a relatively lower salary than garbage collectors
C)teachers and garbage collectors would both be paid the same wages
D)none of the above

Question

​According to the indifference principle,in the long run if being a teacher is more desirable than being a garbage collector,
A)​teachers would be paid a relatively higher salary than garbage collectors
B)teachers would be paid a relatively lower salary than garbage collectors
C)teachers and garbage collectors would both be paid the same wages
D)​none of the above

Quizplus · Accepted Answer

The indifference principle suggests that if a job is more desirable (e.g., being a teacher vs. being a garbage collector), it may pay less because the non-monetary benefits (like job satisfaction, social status, etc.) compensate for the lower salary. Thus, less desirable jobs need to offer higher pay to attract workers.

​According to the Indifference Principle,in the Long Run If Being

According to the Indifference Principle,in the Long Run If Being