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    Managerial Economics and Strategy Study Set 2
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    Exam 15: Asymmetric Information
  5. Question
    Shirking Is Most Likely to Occur When
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Shirking Is Most Likely to Occur When

Question 2

Question 2

Multiple Choice

Shirking is most likely to occur when


A) the principal monitors the agents extensively.
B) employees are paid an hourly wage.
C) a piece rate contract is used.
D) an assembly line is used for production.

Correct Answer:

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