When Pay Is Based Upon the Number of Units Produced

question 55

True/False

When pay is based upon the number of units produced, as in straight piece rate pay, workers have an incentive to work slowly.

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Definitions:

Price-Elastic

A characteristic of goods or services for which their demand or supply significantly changes with small changes in price.

Mass Transit

Public transportation systems designed to move large numbers of people efficiently via buses, trains, subways, and other modes of transport.

Price Elasticity

A gauge of the responsiveness of the quantity of a good supplied or sought after to fluctuations in its price.