Question

If health insurance benefits rise as rapidly as productivity, real wages fall. more rapidly than productivity, real wages fall. more rapidly than productivity, real wages rise. less rapidly than productivity, real wages fall.

Answer 1

Answer:

If health Benefits insurance rise more rapidly than productivity, real wages fall.

Explanation:

Productivity is the amount a worker is making in an hour, and this corresponds to his age. Hence, if health insurance is greater than productivity, the real wage of the worker will fall, because he has to pay insurance premium from his wage. Therefore, health insurance benefits shall be less than productivity so that real wages remain at a rise.