Firms That Seek to Avoid Hiring Lazy Workers That Assert

question 40

Multiple Choice

Firms that seek to avoid hiring lazy workers that assert they are hardworking are trying to avoid

• A) adverse selection.
• B) moral hazard.
• C) screening.
• D) signaling.

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Definitions:

Unwillingness

The state of being reluctant or disinclined to do something.

Ownership

The legal right or title to an asset or property, including the rights to use, enjoy, and dispose of it.

Perfect Tender Rule

A legal principle in sales law that allows buyers to reject goods if they fail to conform precisely to the terms of the contract.

Slightest Defect

Refers to the minimum imperfection or fault in something that can lead to legal liability or the rejection of a product or service.