If most workers are risk adverse why do we still see many workers agreeing to contracts where their compensation is variable like commissions for magazine salesmen or car salesmen?
What will be an ideal response?
These types of contracts occur because variable compensation can help firms get better performance from their workforce.
Economics
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If a country lends more to foreign countries than it borrows from foreign countries in a year, then definitely during that year
A) it has a current account deficit. B) it is a creditor nation. C) it is a debtor nation. D) it is a net lender.
Economics
Firms organize production by using a mix of
A) command and incentive systems. B) market and agency systems. C) command and market systems. D) incentive and agency systems.
Economics