Which of the Following Is an Example of a Disincentive

question 119

Multiple Choice

Which of the following is an example of a disincentive?

• A) Law enforcement creates a "Mug Shots" section online in order to discourage potential law breakers.
• B) You offer workers a bonus if they sell 100 widgets per month.
• C) A local gym offers a weight loss competition and the winner earns a free trip to Bermuda.
• D) Your professor offers to edit your paper before it's graded if you turn it in early.

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Definitions:

Aggregate Supply

The total supply of goods and services that firms in an economy plan on selling during a specific time period.

Keynesian Policies

Economic strategies based on the ideas of John Maynard Keynes that advocate for government intervention to manage demand and stabilize the economy.

Stagflation

A situation in an economy where inflation is high, economic growth slows, and unemployment remains steadily high.

Price Level

The price level is a measure of the average prices of goods and services in the economy, indicating the purchasing power of money.