It is commonly believed that the best ways to motivate an employee are (1) to improve the quality of the workplace and (2) to make the employee feel like he/she is part of the company. How would an economist analyze these statements?
What will be an ideal response?
An economist would be skeptical about these claims. The economic model shows that people respond to incentives. The economic model implies that desired changes in employee behavior can be achieved by changing the relevant costs and benefits of actions by employees.
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Which country experiencing hyperinflation in excess of 15 billion percent in 2008?
A) Argentina B) Canada C) Iceland D) Zimbabwe
Annual income data would be a better index of economic inequality if
a. all households filed tax returns revealing their real income. b. households were more different with regard to age and size characteristics. c. all households were more similar with regard to size, age, education, and other major factors that are linked to income. d. mathematicians could grasp the complexities of the calculations.