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1. Job A pays $30,000 a year. Job B is completely identical in all aspects excep

ID: 1181687 • Letter: 1

Question

1.     Job A pays $30,000 a year.  Job B is completely identical in all aspects except it is located in an area that has a 10% higher cost of living.  In order to compete, Job B would need to pay _____________________. This is known as a __________________________________.


2.     Explain the difference between the human capital and signaling theories of education.


3. Briefly describe each of the 4 main pieces of labor legislation.            

Job A pays $30,000 a year. Job B is completely identical in all aspects except it is located in an area that has a 10% higher cost of living. In order to compete, Job B would need to pay ___. This is known as a . Explain the difference between the human capital and signaling theories of education. Briefly describe each of the 4 main pieces of labor legislation.

Explanation / Answer

1st part---- Job B would need to pay $30,000*1.1 = $33,000

2ns part --- It is known as cost of living adjustments (COLAs), cost of living allowances and escalator clauses