Efficiency Wages & Job Search

efficiency-wage theory, equilibrium

? states that, basically, if you pay workers more (above ? wages) then there are benefits

health, developed

the first benefit of efficiency-wage theory is

• improved worker ?

  • this only really applies to lesser ? countries… so the US doesn’t apply to this

turnover, decreased, stay

the second benefit of efficiency-wage theory is

• worker ? is ?

  • workers are more loyal and ? with the company longer

  • less resources pooled into training

effort, increased

the third benefit of efficiency-wage theory is

• worker ? is ?

  • greater incentive to work

  • threat of unemployment or losing the higher paying job

quality, improved, talented

the fourth benefit of efficiency-wage theory is

• worker ? is ?

  • higher wages attract more ? workers

deliberate, willing, wait

a side effect of efficiency-wage theory is that it creates more ? unemployment

• people are more ? to ? for the higher-paying job

Job Search

Regardless of wages, people will search for jobs that match their skills and preferences

• people may literally voluntarily stay unemployed until they find the job they want

equity, efficiency, safety, sort

Government policy that aids the unemployed leads to the ? vs ? argument

• is it better to have a ? net or should the market just be left alone to ? itself out

  • AKA unemployment benefits

sources, minimum, unions, efficiency, search

These are the ? of unemployment

• ? wage laws

• organized worker ?

• ? wages

• job ?