A Principal Has No Duty to Compensate His or Her

question 23

Multiple Choice

A principal has no duty to compensate his or her agent if:

• A) the agent breached the duty of obedience.
• B) the agent breached the duty of loyalty.
• C) it is a gratuitous agency.
• D) All these are correct.

Understand the concept and calculation of the fiscal multiplier and the marginal propensity to consume (MPC).

Understand the relationship between federal budget deficits/surpluses and the national debt.

Comprehend the impact of taxes and government spending on real GDP.

Understand the principles of fiscal policy and its use in stabilizing the economy.

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Definitions:

Service Quality Dimensions

Refers to the various factors that customers consider when evaluating the quality of a service, typically including tangibles, reliability, responsiveness, assurance, and empathy.

Service Failure

Occurs when a service does not meet the customer's expectations, often leading to dissatisfaction.

Service Recovery

Service recovery involves a company's response to a service failure, aiming to address the issue and restore customer satisfaction.

Distributive Fairness

The perceived fairness of the outcomes of a decision-making process, including the allocation of resources or rewards among stakeholders.