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When Employers Use Screening to Distinguish High-Ability Workers from Sufficiently

Question 22

Multiple Choice

When employers use screening to distinguish high-ability workers from sufficiently numerous low-ability workers,the burden of asymmetric information falls on _________ because they ________ than when employers are well-informed.


A) low-ability workers; perform more tasks
B) low-ability workers; are paid less per task
C) high-ability workers; perform more tasks
D) high-ability workers; are paid less per task

Correct Answer:

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