What Determines Your Total Compensation?

A lot of people don't understand who is paying for these benefits, their health, their health insurance through their employer. The way economists look at it is like this: In a competitive labor market, what determines your total compensation is what we call your marginal productivity. So if your marginal productivity is 50 thousand dollars per year, then that's how much the market er,. that's the direction in which the market is going to push employers to pay youtotal compensation o 50000 dollars per year. And if your employer offers you health benefits, since that's what determineso total compensation, if your employer offer you health benefitsThat has to come out of that 50 thousand dollars. Because if they offers