Profit-sharing contracts are designed to
A) mitigate the moral hazard problem.
B) be fair with the workers.
C) be used in situations in which shirking is not possible.
D) All of the above.
A
You might also like to view...
Three variables are related and two of them are plotted in a figure. If the variable that is not measured on either the x-axis or the y-axis changes, then there is
A) a movement along the drawn curve. B) no impact on the curve because the variable is not measured on either of the axes. C) a shift in the curve. D) either a shift in the curve or a movement along the curve, but more information is needed to determine which. E) None of the above answers is correct.
An example of business fixed investment spending is
A) a purchase of a home by a household. B) a purchase of a bond by General Electric Corporation. C) a purchase of a computer by an accounting firm. D) $200 million of unsold cars at a car dealership.
Fun Time Toys produced $60 million worth of toys in 2008 . Because of a slow Christmas shopping season, only $50 million worth was sold to consumers, and the remaining $10 million worth went into inventories. Based on this information, how was GDP affected in 2008?
a. $60 million was added to GDP; $50 million was classified as consumption spending and $10 million was classified as private investment b. $60 million was added to GDP, all classified as consumption spending c. $50 million was added to GDP, all classified as consumption spending d. $40 million was added to GDP; $50 million was classified as consumption and -$10 million was classified as private investment e. $40 million was added to GDP, all classified as consumption
The environmental problems of China:
a. were caused by a lack of central planning in the economy. b. were caused by the burning of low-quality, high-sulfur coal. c. were caused by a lack of pollution controls. d. All of the above are correct.