The Source of Referent Power Is

question 22

Multiple Choice

The source of referent power is

• A) a subordinate's identification with the leader.
• B) a leader's identification with the subordinates.
• C) derived from the fact that the manager can potentially act as a reference when the employee applies for another job.
• D) derived from the manager's ability to provide effective incentives to employees.

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Definitions:

Product Purchases

Transactions involving the buying of goods or services for commercial purposes or for use in production.

Maturity Risk Premium

The additional return that investors require for holding a longer-term bond, compensating for the increased risk of price fluctuations and inflation over time.

Default Risk Premium

The additional yield that a borrower must pay to compensate the lender for the risk that the borrower may default on the loan.

Pure Rate

The real rate of interest that would exist in the market in the absence of inflation, default risk, and other factors that could affect nominal rates.