Cost Per Click Is a Performance Measure in Which __________

question 132

Multiple Choice

Cost per click is a performance measure in which __________, whereas cost per thousand is a performance measure in which __________.

• A)a company paying a set amount to Facebook for every purchase that originated from an ad on a website; a company that pays pennies for every time its ad loads on a Facebook page, up to a fixed amount
• B)a company that pays pennies for every time its ad loads on a Facebook page, up to a fixed amount; a company paying a set amount to Facebook for every time a user clicks on its ad
• C)a company paying a set amount to Facebook for every time a user clicks on its ad; a company that pays pennies for every time its ad loads on a Facebook page, up to a fixed amount
• D)a company paying a set amount to Facebook for every purchase that originated from an ad on a website; a company paying a set amount for the ad to be placed on the website for a certain amount of time
• E)a company paying a set amount for the ad to be placed on the website for a certain amount of time; a company paying a set amount to Facebook for every purchase that originated from an ad on a website

---

Definitions:

Principal-Agent Problem

A conflict in priorities between a person or group (the agent) making decisions on behalf of another person or group (the principal).

Efficiency Wages

Efficiency wages are higher than market wages paid by employers to increase productivity, worker loyalty, and morale.

Above-Equilibrium Wage Rates

Wages set above the market equilibrium, often leading to surplus labor supply or unemployment, as employers demand less labor at higher wage rates.

Opportunity Cost of Shirking

The benefits a worker forgoes by choosing to shirk (reduce their level of effort or productivity) at work, which could include potential wage increases, promotions, or job security.