Some take issue with the human capital argument that employers pay more for college graduates because firms recognize the value of human capital. What are two alternative explanations for why college grads receive higher pay?
Education is a sorting device for factors that lead to job success. Ability, intelligence, and perseverance are attributes of college graduates and correlate with likely job success. A second view is that skilled employment is only open to the educated.
Economics
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More than 70 percent of national income can be attributed to:
a. compensation of employees. b. rental income. c. corporate profit. d. net interest. e. proprietors' income.
Economics
A monopolistic firm is a:
a. price taker that faces the market supply curve. b. price taker that faces the market demand curve. c. price maker that faces the market supply curve. d. price maker that faces the market demand curve.
Economics