In the Relationship Between a Worker and Her Employer,which of the Following

question 58

Multiple Choice

In the relationship between a worker and her employer,which of the following are potential problems

• A)Asymmetric information is a potential problem, but moral hazard is not a potential problem.
• B)Asymmetric information is a potential problem, but adverse selection is not a potential problem.
• C)Moral hazard is a potential problem, but asymmetric information is not a potential problem.
• D)Adverse selection is a potential problem, but asymmetric information is not a potential problem.

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Definitions:

Red Tape

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Popular Democrats

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Administrative Agencies

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Spoils System

A practice where a political party, after winning an election, gives government jobs to its supporters as a reward and incentive for working toward victory.