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What is the ratchet effect?
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What is the ratchet effect?
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Apr 26, 2021
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What is the ratchet effect?
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The ratchet effect refers to a situation where workers subject to performance pay choose to restrict their output, because they rationally anticipate that firms will respond to higher output levels by raising output requirements or cutting pay.
Coisox
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May 2, 2021
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