Final answer:
Wage determination methods vary by job type and the measurement of productivity, from a percentage of billables for computer programmers, to hourly wages plus periodic raises for cashiers, and a set amount per completed job for landscapers. These methods reflect the different ways productivity can influence income, but do not always adjust quickly or seamlessly to changes in productivity levels.
Step-by-step explanation:
The method used to determine wages can vary significantly based on the job and the way productivity is measured. In Karen's case as a computer programmer, her wage is a percentage of the billable amount to clients, which aligns closely with her individual productivity. This method benefits employees who are efficient and work with high-paying clients, and the company can adjust her wages easily in response to changes in productivity.
On the other hand, Matt's job as a cashier is paid based on an hourly wage, which may include periodic increases such as a $1.00 raise from the last wage. This method is less directly tied to individual productivity, as his wage is not directly influenced by how quickly or efficiently he works.
Joshua's landscaping job pays a set amount per job, which encourages high productivity because the more yards he completes, the higher his total earnings. However, this can introduce variability in income if the availability of work fluctuates.
Productivity is a key factor in determining wages, and while some positions have a clear measure of productivity, others do not. Adjustments to wages based on productivity can affect the natural rate of unemployment, as employers seek to match wage levels with the value of output produced. Wage increases are often determined based on recent experiences with productivity growth, but these are not always smooth or immediate.