Final answer:
It is true that employees who are more productive tend to have higher wages because productivity growth influences the average wage level, and well-paid employees are often more motivated and productive.
Step-by-step explanation:
True, if employees are more productive, their wages will likely be higher. This is because productivity growth is closely linked to the average level of wages. Employers are generally willing to pay workers based on the value of the output these workers produce. According to efficiency wage theory, well-paid employees tend to be more productive as they are motivated to work harder and stay with their current employer. Similarly, firms that pay less than what their workers produce risk losing them to other employers who recognize the value of their productivity.