A Principal Consequence of Limits on Salaries and Promotions in the Civil

question 16

Multiple Choice

A principal consequence of limits on salaries and promotions in the civil service is that:

• A) it is difficult to reward the best employees
• B) civil service employees exhibit a lack of effort
• C) good employees avoid public service and instead work for the private sector
• D) government jobs pay less than private-sector jobs over the long run
• E) civil service employees are forced to work overtime to make more money

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Definitions:

Distribution

Withdrawals or payouts from investments, retirement accounts, or revenue from a business that may be taxable.

Current Cash Distribution

In investments, it refers to the actual cash distributed to investors or partners from the operations of a business, fund, or another form of investment.

Partnership Interest

An owner's share of the profits and losses, and rights and obligations, in a partnership.

Recognized Gain

The amount of profit realized from the sale or exchange of an asset that must be reported for tax purposes.