Jake and zach are identical twins who attended grammar school through college together. jake took a job as an engineer who does not have to travel out of the state. zach took a job as an engineer who must travel out of state once a week. jake earns $125,000 a year, and zach earns $155,000 a year. select the best explanation for this wage difference.

a. zach puts in less effort than jake.

b. jake's lower salary supports the signaling theory of education.

c. zach has less human capital than jake.

d. zach receives a higher wage to compensate for the disagreeable nature of business travel.

Question

Business

Lyric Spence

3 July, 17:51

Jake and zach are identical twins who attended grammar school through college together. jake took a job as an engineer who does not have to travel out of the state. zach took a job as an engineer who must travel out of state once a week. jake earns $125,000 a year, and zach earns $155,000 a year. select the best explanation for this wage difference.

a. zach puts in less effort than jake.

b. jake's lower salary supports the signaling theory of education.

c. zach has less human capital than jake.

d. zach receives a higher wage to compensate for the disagreeable nature of business travel.

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Answers (1)

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Skyler · Answer 1

I may be wrong, however I'd go with D because if they went to the same schools together their entire lives, then they probably know about the same things. Also, it makes sense to give Zach more pay for the inconvenience of business trips. this is just my opinion.