An employer can reduce its potential liability for negligent hiring by _______.
a) using personality tests
b) conducting a background check
c) using integrity tests
d) using structured interview questions
Answer: b) conducting a background check
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Suppose a perfectly competitive firm faces the following short-run cost and revenue conditions: ATC = $12; AVC = $10; MC = $15; MR = $13. The firm should
A) decrease output. B) increase output. C) increase price. D) change nothing.
Income elasticity is defined as the
A) percentage change in the quantity demanded of a good resulting from a change in income. B) percentage change in the demand of a good resulting from a one percent change in income. C) change in quantity demanded resulting from a change in income. D) percentage change in the quantity demanded of a good resulting from a one percent change in income.
As the price of cameras increases
A. the demand for cameras will increase. B. the demand for film will increase. C. the demand for film will decrease. D. the supply of cameras will increase.
Implicit costs are
A. costs that are taken into consideration by accountants. B. the opportunity costs of using factors that a producer does not buy or hire but already owns. C. the costs of using factors that a producer hires or rents. D. costs that are variable in the short run and fixed in the long run.