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wage-fund theory

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variants: or wages-fund theory

Definition of wage-fund theory

: a theory in economics: there is at any one time a rigid capital fund available for wage payments, and increases in wage rates to any groups will only redistribute wage payments, not increase the aggregate of wages paid — compare iron law of wages, subsistence theory

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“Wage-fund theory.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/wage-fund%20theory. Accessed 9 May. 2021.

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