The theory of "efficiency wages" says that firms which cannot monitor workers' efforts well should instead pay highwages to make it costlier for them to risk being sacked.
Like all too many others, though, Hoover drew the fallacious conclusion that the prosperity was the result of the highwages rather than the other way around.
然而,就像很多其他人一样,胡佛把繁荣错误的归结为高工资的结果,而与其他毫不相干。
3
But why did Britain have such highwages and cheap energy in the first place?