Example

Applying the No-Shirking Wage Curve to Hire 40 Diligent Workers

The no-shirking wage curve provides a clear strategy for achieving a target employment level with a motivated workforce. For example, to hire 40 non-shirking tutors, a school would first set the wage at €710, the minimum level indicated by the curve for that number of employees. Then, it would screen applicants to recruit only those candidates who are expected to work diligently at this wage.

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Updated 2025-11-06

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