Behavioural Economics

question 32

Multiple Choice

Behavioural economics:

• A)brings some of the insights from psychology into the study of economic issues
• B)tends to view human behaviour as less complex than that found in conventional economic theory
• C)applies the tools of economics to understand the functioning of government
• D)includes topics such as adverse selection and moral hazard

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Definitions:

Annual Wage Increase

A periodic, typically yearly, rise in the base salary or wages of an employee.

Non-Union Business

An organization or industry that does not have its employees represented by a labor union.

Wrongful Dismissal

The termination of an employee's contract of employment without just cause or in violation of the contract's terms.

Reasonable Notice

The adequate time or warning given in advance of an event or action, such as termination of employment, required by law or contract.