ashmit99 wrote:
Can you please help me with where am I going wrong?
Conclusion : PRP increases productivity.
E. Firms in metal industry with PRP contracts pay 15% higher wages. - Can't this mean that maybe higher wages is the reason for higher productivity rather than PRP contracts in these firms? If that's the case - this weakens since we have another reason for productivity going up.
Thanks in advance!
We attempted to address this point in an earlier post: https://gmatclub.com/forum/firms-adopting-profit-related-pay-prp-contracts-pay-wages-at-level-114923.html#p2992435. Take a look, and let us know if you still have questions!
Statistics : Posted by GMATNinja • on 08 Jun 2011, 20:54 • Replies 16 • Views 30906
