Abbas, Syed Kanwar; Zaman, Asad - In: The Pakistan Development Review 44 (2005) 4, pp. 1051-1066
The object of this paper is to present an exposition of Efficiency Wage theory, and to test its basic assertions in the context of Pakistan. The Great Depression of 1929 showed that labour disequilibrium persists for long periods of time. One of the causes of this was rigidity of nominal wages,...