Which of the following is an outside incentive that forces managers to put forth maximal effort?
A. Performance bonuses
B. Threat of takeovers
C. Flat fees
D. Revenue-sharing contracts
Answer: B
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One of the results of Paul Romer's new growth theory is that investment in research and development will be too low in an economy. Explain how he comes to this conclusion
What will be an ideal response?
Shocks and Integration) The graph shows hypothetical OCA economic criteria for several South American countries. Using the graph, which of the following best satisfy the OCA criteria for forming a monetary union?
A) Peru and Colombia B) Peru and Uruguay C) Venezuela and Uruguay D) Colombia and Venezuela
If the prices of the goods and services contained in the CPI market basket increase from the base period to the next year, we know that
A) the market basket used by the BLS must be changed next year to reflect consumers' new expenditures. B) the next year's CPI will be below 100. C) the next year's CPI will be above 100. D) the inflation rate is falling. E) the cost of the CPI market basket at next year's prices is lower than the cost of the CPI market basket at base period prices.
A Lorenz curve depicts the
a. number of people in an economy living below the poverty line b. percentage of children in an economy who are not receiving adequate nutrition c. percentage of the economy's population benefiting from government spending programs d. percentage of total income that a specific percentage of the population receives e. percentage of the population whose income is dependent on wages and salaries