⚫1.
◾▪️ Subsistence Theory of wages:.
This theory wa presented by the "Frence Economist. Quesnay".
According to this theory the wage_rate paid to the workers is just enough for the worker and his family to buy necessaries of life. The wage_rate is neither
higher nor lower than this level.
⚫2.
◾▪️ Modern Theory or Demand and Supply Theory:
According to this theory the wage_rate , like the genert consumer goods , is determined by the Law of supply and Demand.
In other words the wage rate shall be fixed at a point where the demand and supply of workers is equal.
This is known as the "Modern Theory of Wages".
Besides these, the wage fund Theory and Residual Claimant Theory are also well_known. The former
Theory was first presented by "Adam Smith and later by j.S.Mill.". The latter theory was presented by "Francis Walker"..