Jane receives job training at Firm X. BEFORE training her best wage elsewhere is
ID: 1106753 • Letter: J
Question
Jane receives job training at Firm X. BEFORE training her best wage elsewhere is $20,000. AFTER training her best wage elsewhere is $20,000. Firm X pays Jane $20,000 during training and S30,000 after 21) Which of the 2 types of on-the-job-training we studied is Jane receiving? 22) Who is financing Jane's on-the-job-training? 23) After training, Jane's MPL at firm X must be: (A) GREATER THAN $30,000 (B) LESS THAN $30,000 (C) EQUAL TO $30,000 24) Why does firm X in question (23) pay Jane more than she could earn elsewhere after 25) Give one PSYCHIC RETURN OF GETTING A COLLEGE DEGREE the training is over ?Explanation / Answer
21. J is receiving quality training; it improves skills. Once the training is over the person can be more productive, but having the minimum waste. Since the person is paid more after the training, it indicates of getting quality training.
22. It is financed by the firm, since payment is made during the training ($20,000).
23. Marginal productivity of labor (MPL) must equal to $30,000. This is a way of productive efficiency, which the firm can enjoy.
24. This is because of economic rent. This is an extra payment to a factor, which is higher than its opportunity cost, in order to keep the factor in use. J will not be able to leave the firm, since she is receiving the highest.
25. Return: The holder of college degree used to earn high salary.
This might be the target and satisfaction of achieving a college degree.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.