A Primary Advantage of Organizing Economic Activity Within Firms Is

question 13

Multiple Choice

A primary advantage of organizing economic activity within firms is the

• A) ability to coordinate highly complex tasks to allow for specialized division of labor.
• B) low administrative costs because of reduced bureaucracy.
• C) eradication of the principal-agent problem.
• D) high-powered incentive to work as salaried employees for an existing firm.

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Definitions:

Letters

Characters in an alphabet used in written language to represent sounds or form words.

Connectionist Models

Computational models used in cognitive science that simulate neural networks or how neurons in the human brain interact.

Memory

The faculty by which the mind stores and remembers information.

Perceptions

The process of organizing, interpreting, and assigning meaning to sensory information to understand the environment.