Which of the Following Statements About Outcome-Oriented or Behavior-Oriented Contracts

question 27

Multiple Choice

Which of the following statements about outcome-oriented or behavior-oriented contracts is true?

• A)Merit pay is an example of an outcome-based contract.
• B)Behavior-oriented contracts do not transfer risk to the agent.
• C)Outcome-oriented contracts do not require a compensating wage differential.
• D)Outcome-oriented contracts decrease the agent's risks.
• E)In behavior-based contracts,information asymmetry is not an important issue.

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Definitions:

Job Satisfaction

The level of contentment employees feel towards their jobs, influencing motivation, performance, and retention.

Positive Work Experiences

Workplace situations or environments that contribute to an individual's satisfaction, productivity, and well-being.

Job Content

The specific duties, responsibilities, and tasks that make up a particular job or position.

Component Of Attitude

Constitutes one of the elements that make up an individual's attitude, typically including cognitive, affective, and behavioral components.