Explore BrainMass
Share

Explore BrainMass

    why firms often have mandatory retirement

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Present an economic argument to explain why firms often have mandatory retirement (where allowed by law).

    © BrainMass Inc. brainmass.com October 9, 2019, 4:14 pm ad1c9bdddf
    https://brainmass.com/economics/applied-economics/firms-mandatory-retirement-26235

    Solution Preview

    Economic analysis explains mandatory retirement based on the costs and benefits of hiring a work over a long-period of time. A company offers a pattern of wages and pension benefits that underpays its workers during early years, relative to their productivity, and overpays them during later years. This system- "deferred compensation"- provides incentives for ...

    Solution Summary

    This job verifies why firms often have mandatory retirement.

    $2.19