The sticky wage theory states that wages are resilient to decline even as economic conditions worsen.
This is because workers will fight against wage cuts and therefore the firm will seek to cut costs elsewhere, including through layoffs if profitability falls.
Because wages tend to be sticky, real wages are instead declining due to the impact of inflation.
A key element of Keynesian economics, “stickiness” is seen in other areas as well, such as certain prices and levels of taxation.
Evaluation costs are the fees a company pays for discovering defects in its products before they are delivered to customers; they are a form of quality control.
The articles of association can be seen as a user manual for the company, defining its purpose and outlining the methodology for carrying out the necessary day-to-day tasks.
When a company or government agency buys or leases existing manufacturing facilities to launch new manufacturing activities, this is called an investment in existing facilities.
The Code of Ethics sets out the ethical principles of the organization and the best practices to be followed with respect to honesty, integrity and professionalism.