If an employee is paid a fixed wage in a production environment where the wage is independent of output, then the employee has an incentive to:
A. shirk.
B. innovate.
C. search for methods to overcome random elements in production.
D. maximize output.
Answer: A
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The marginal revenue curve is ________ the demand curve, and that total revenue reaches a ________ where marginal revenue is zero
a. below; minimum b. below; maximum c. above; minimum d. above maximum
If income in Africa increases by 4% and demand for poultry increases by 8%, then the income elasticity for poultry demand in Africa is projected to be:
a. -0.8 b. 0.8 c. 2 d. 1.25 e. 1.50
Smith and Jones comprise a two-person economy. Their hourly rates of production are shown below. CalculatorsPer HourComputersPer HourSmith10010Jones1206
A. consumption possibilities curve. B. production function. C. supply curve. D. production possibilities curve.
The term government failure refers to the
What will be an ideal response?