The fact that doctors are paid more than professors is an example of a compensating differential.

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A compensating differential is a wage increase between two jobs that is needed to compensate for the negative aspects of the job, such as longer work hours or higher levels of stress. Doctors are paid more than professors because they require more education, training, and specialized skills, as well as working longer hours and facing higher levels of stress and job demands. This wage differential compensates them for these negative aspects of their job.

The Fact That Doctors Are Paid More Than Professors Is