Unformatted text preview: affect labor supply, labor demand, and equilibrium wages. COMPENSATING DIFFERENTIALS When a worker is deciding whether to take a job, the wage is only one of many job attributes that the worker takes into account. Some jobs are easy, fun, and safe; oth-ers are hard, dull, and dangerous. The better the job as gauged by these nonmon-etary characteristics, the more people there are who are willing to do the job at any “On the one hand, I know I could make more money if I left public service for the private sector, but, on the other hand, I couldn’t chop off heads.”...
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- Spring '10
- Supply And Demand, general framework, equilibrium wages, wide variation