Which of the following explains why a compensation contract designed to combat employee moral hazard that features strong incentives might be worse than having no incentive scheme at all?

A. If performance depends on factors other than just the employee's effort, the strong incentives create large costs associated with risk bearing.

B. Employers are generally pretty skilled at measuring the aspects of job performance in which they are the most interested.

C. Generally, an employee's effort and ability are the only two determinants of the employee's performance.

D. This is a trick question; in the presence of moral hazard, even a poorly-designed incentive scheme is better than no incentive scheme.


A. If performance depends on factors other than just the employee's effort, the strong incentives create large costs associated with risk bearing.

Psychology

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What do most people decide in the trolley car dilemma and the footbridge dilemma? a. They are more likely to kill one person to save five in the trolley car dilemma. b. They are more likely to kill one person to save five in the footbridge dilemma. c. They choose to kill one person to save five in both dilemmas

d. They refuse to kill one person to save five in either dilemma.

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Which sequence lists the parts of the human ear in the CORRECT order in which sound waves travel through them from the environment?

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Imagine Baby P received two X chromosomes at the time of conception. Near the 7th or 8th week of the pregnancy, Baby P will:

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Psychology

Researcher Sandra Bem believes that whether one shows masculine traits or feminine traits should depend on

a. biological biasing. b. what the situation requires. c. your culture. d. your sexual orientation.

Psychology