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# Superior Hardship and Superior Skill

# Superior Hardship and Superior Skill

## Definition

Additional compensation granted to labour that involves greater physical difficulty or requires exceptional abilities and training. This represents an early form of wage differentiation based on the nature of work performed.

## Source Chapter

Book I, Chapter 6

## Context

Discussed as factors that influence wages in both primitive and advanced societies. Smith explains that more severe labour or labour requiring uncommon dexterity and ingenuity naturally commands higher compensation, though he distinguishes this from profits of stock.

## Economic Domain

Distribution

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