Firms use hostages
A) to force employees to work.
B) to encourage good behavior.
C) to get employees to work for less money.
D) None of the above.
B
You might also like to view...
The problem of moral hazard helps explain why the International Monetary Fund _______ the Asian countries during their 1997-1998 crisis and _______ Argentina during its 20011-2002 crisis
a. helped; abandoned. b. abandoned; helped. c. helped; helped d. abandoned; abandoned. e. none of the above.
Consider two people who are currently out of work. Tim is not looking for work because there have been many job cuts where he lives, and he doesn't think it likely that he will find work. Bev is not currently looking for work, but she would like a job, and she has looked for work in the past. The Bureau of Labor Statistics considers
a. both Tim and Bev to be marginally attached workers. b. neither Tim nor Bev to be marginally attached workers. c. only Tim to be a marginally attached worker. d. only Bev to be a marginally attached worker.