When employees are offered incentives to find new customers, but the aggregate economy is so weak (in recession) that the firm loses consumers, then the incentive plan:
A. must be adhered to no matter what.
B. suffers from the problems of external risks that employees cannot overcome.
C. suffers from the problem of diminishing reservation utility.
D. must be adjusted to make employees work harder in difficult times.
Answer: B
You might also like to view...
The figure above shows the relationship between distance sprinted and recovery time. The curve becomes steeper because as the distance sprinted increases,
A) the extra recovery time needed from sprinting another 100 yards increases. B) the extra recovery time needed from sprinting another 100 yards decreases. C) the recovery time increases. D) the recovery time decreases. E) the relationship between distance sprinted and recovery time becomes more inverse.
A decrease in income ________
A) lowers money demand for any given interest rate B) lowers interest rates ceteris paribus C) leads to a leftward shift of the money demand curve D) all of the above E) none of the above
"A tax cut will lead to higher inflation" is an example of a positive economic statement
a. True b. False Indicate whether the statement is true or false
Which of the following is not likely to be true in a command economy?
a) Businesses may pursue social objectives. b) The profits of the business belong to the government. c) Resources are allocated by government directives. d) Market forces determine what is produced and who receives the products.