In the economic way of thinking, government consists of many different people interacting on the basis of

Compared to corporations, businesses that are proprietorships

A) are far more numerous. B) account for a larger percentage of the economy's total revenue each year. C) can raise capital more cheaply. D) All of the above are correct answers.

The problem the agent faces when deciding how to keep the agent motivated is called

a. Adverse selection b. Moral hazard c. Both of the above d. None of the above