Mitchell has a cause: He loves cats. As an economist, he could earn $100,000 as a faculty member, but instead he decides to devote his time to the Humane Society as its chief economist. Knowing nothing else, you would expect that he would receive
a. higher pay at the Humane Society because of the difference in skill levels.
b. lower pay at the Humane Society because of signal theory.
c. lower pay at the Humane Society because of the compensating differential theory.
d. higher pay at the Humane Society because of signal theory.
e. the same pay as either a professor or as a chief economist at the Humane Society.
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