Which of the Following Statements Regarding Leadership Is True

question 86

Multiple Choice

Which of the following statements regarding leadership is true?

• A) All managers are leaders.
• B) Formal rights ensure good leadership.
• C) Formal appointment is essential in creating leaders.
• D) All leaders are hierarchically superior to followers.
• E) Nonsanctioned leadership is as important as formal influence.

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Definitions:

Marginal Revenue Product

The additional revenue a firm generates by employing one more unit of input, typically labor.

Labor Market

A marketplace where labor services are bought (by employers) and sold (by workers), determining the allocation of labor resources and wages.

Equilibrium

A state in a market where the quantity supplied equals the quantity demanded, leading to a stable situation where there is no tendency for change.

Economic Rents

Payments made to a factor of production in excess of what is needed to keep it in its current use.