Explain why an efficiency wage could help telecom companies


Problem

Large telecom companies like AT&T routinely send repair technicians to customers' homes. Although they are skilled laborers, they must usually train on the job, so it takes some time for them to reach a high standard of quality. In addition, their work cannot be constantly supervised. Explain why an efficiency wage could help telecom companies to increase the productivity of repair techs.

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Microeconomics: Explain why an efficiency wage could help telecom companies
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