Which of the Following Factors Explains Why Managers of Government

question 135

Multiple Choice

Which of the following factors explains why managers of government agencies have little incentive to achieve operational efficiency?

• A) Public-sector managers have no fear of bankruptcy when operational efficiency is not achieved.
• B) Public-sector managers face fierce competition.
• C) It is relatively easy for voters to detect operational inefficiency in the public sector and do something to correct it.
• D) All of the above explain why government agencies have little incentive to be efficient.