Answer
Coal miners are paid more than other workers with similar amounts of education because of the concept of compensating differential. Coal miners often work in dirty and dangerous conditions which would make their job tougher also have an adverse long-term health impact.
Work Step by Step
Concept of compensating differential explains the difference in wages which arise due to non-monetary characteristics of the jobs like the type of job, the effort involved in the job, conditions of the work environment etc.
