Which of the Following Is Most Likely to Be a Private

question 82

Multiple Choice

Which of the following is most likely to be a private good?

• A) Road
• B) Bicycle
• C) Park
• D) City fireworks display

Understand different components and issues in designing goal-sharing and gain-sharing plans.

Identify key factors in determining the allocation of bonus and profit-sharing across employees.

Recognize the tax implications for employees receiving stock options as part of performance incentives.

Distinguish between monetary and nonmonetary rewards and their implications.

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Definitions:

Illusory Correlation

A cognitive bias wherein people falsely perceive an association between two events or situations.

Heuristic Overbias

The tendency to over-rely on heuristic approaches when making decisions, often at the expense of more accurate or rational methods.

Self-serving Attribution

A common bias where individuals attribute their successes to internal or personal factors and their failures to external or situational factors.

Physical Appearance

The outward look or aspects of objects or persons, including bodily shape, features, and attributes.