Geography & History Notes | KCSE, NECTA, ZIMSEC & GCSE

  Wage differentials is where different wages are paid to different workers depending on differences in occupations, gender, age, race, trade unions and political party. However, the differences inMwages may be between jobs or within the same job. Causes of wage differences in an economy Differences in the level of education and training. Workers who spend longer periods at school such as degree holders earn more wages because of the high skills possessed than diploma holders who spend fewer years at school but are serving in the same occupation or industry. Differences in the cost of living. Workers who work in areas where the cost of living in high such as urban centres earn higher wages to enable the work attain reasonable welfare than those serving in areas where the cost of living is low such as rural areas. Differences in the level of talents and natural gifts. Highly talented workers such as Musicians, painters, professional footballers and athletes' earn more wages because ...

  It assumes that employers can vary the units of labour employed and this is largely true in most occupations. It assumes that workers with higher marginal physical product get higher wages than those with low marginal physical product and this is true in occupations where piece rate system applies. The government has no influence over wages in the private sector of ar. eloping countries like Uganda. Trade unions in developing countries are weak and have no or limited effect on wages Limitations of the marginal productivity theory of wages All units of labour are not homogenous and workers productivity varies. A of labour differs from another in terms of skills, education attainment physical ability. Therefore, efficiency of labour differs from worker to worker, is therefore wrong to assume that all units of labour are homogeneous. Labour tends to be immobile yet the theory assumes perfectly mobility, theory assumes perfect mobility of labour between different employments places. ...

  Level of education and training. Highly skilled labour is paid more % because of the high productivity and efficiency than a worker with a low level of education who is inefficient and needs further training. Cost of living. High costs of living like in urban areas leads to high wages to a worker to enable them to sustain better standards of living while low costs of living like in rural areas leads to low wages given to a worker because minimal cost required to sustain a given lifestyle. Level of talents and natural gifts. A highly talented worker is gifted contributes more to output hence earns more wages than a worker who is talented and contributes less to output. Nature of the job. Highly risky jobs results into high wages given to worker-compensate them for the risk they are exposed to while less risky jobs results low wages given to workers. Level of experience/ responsibility. High level of experience or more responsibilities leads to high wages given to a worker b...

  Results into increased savings and investment by workers. Helps workers to meet the increasing cost of living. Promotes equity in income distribution when rationally implemented. Helps fight malpractices like corruption and moon lighting. Leads to increased government popularity. Leads to increased demand for goods due to increased incomes. Protects workers from exploitation by employers. Leads to increased efficiency of the workers. Leads to increased labour supply or reduced voluntary unemployment . Leads to reduced brain drain. Minimises labour unrest thus promoting industrial peace. Promotes mobility of labour. Leads to increased revenue to government through taxation. RELATED POSTS COMPARISON BETWEEN FISHING IN KENYA AND JAPAN THE CONCEPT OF ENVIRONMENT, COMPONENTS OF ENVIRONMENT AND THE PROBLEM FACING ENVIRONMENT Five (5) Advantages of questionnaire as data collection tool in research 5 DISADVANTAGES OF ROAD TRANSPORT 10 FACTORS THAT AFFECT OCEAN SALINITY CAUSES AND EFFE...