When a Profit-Maximising Firm Makes a Decision to Employ a Worker

question 196

Multiple Choice

When a profit-maximising firm makes a decision to employ a worker, that decision is based on:

• A)the familial relationship between the employer and the employee
• B)how much output the worker can produce
• C)the individual contribution that the worker makes to the profit of the firm
• D)the total output produced by the firm

---

Definitions:

Professional Association

An organization seeking to further a particular profession, the interests of individuals engaged in that profession, and the public interest.

Insurance Agent

A professional who sells, solicits, or negotiates insurance policies on behalf of an insurer.

Threefold Test

A method used in various legal contexts to evaluate criteria or conditions based on three distinct factors.

Negligent Misrepresentation

Providing false or misleading information carelessly, leading to someone else making a detriment based on that information.