1 Explain The Role Labor S Productivity Plays In Wage Determination In The Compe

Find answers on: 1) Explain the role labor’s productivity plays in wage determination in the competitive labor market. If productivity increases, what happens to.

1) Explain the role labor’s productivity plays in wage determination in the competitive labor market. If productivity increases, what happens to wages and why?

2) What is meant by the term “compensating wage differentials?”

3) Why is the demand for labor called a “derived demand?”