Encouraging Lower-Level Managers to Take Time Off Did No Good

question 14

Multiple Choice

Encouraging lower-level managers to take time off did no good until top leaders took time off. This example shows that leaders:

• A) signal important cultural values through their daily actions.
• B) can change unadaptive cultures by their actions.
• C) are watched by employees.
• D) all of the choices

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Definitions:

Marginal Social Cost

The total cost incurred by society when the production of a good or service is increased by one additional unit, including both private and external costs.

Common Resources

Goods that are non-excludable and rivalrous, meaning they are available to all but can be depleted by overuse.

Marginal Social Cost

This refers to the entire cost society bears for the production of an additional unit of a good, including both private costs borne by producers and external costs absorbed by others.

Common Resource

A resource like air or water that is non-excludable and rivalrous, meaning it's difficult to prevent anyone from using it, and one person's use diminishes others' use.