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Company A allows its employees flexibility to work from home about 80% of the time. So, employees are required to come to the office 1 day a week (5 days week). Since 24-hour monitoring of employee activity is not possible, how Company A handle the problem of asymmetric information and action.
1. Discuss the nature of the moral hazard inherent in this work arrangement on the part employees.
2. Discuss work /human resource policies and productivity/performance metrics that can be employed and make hidden action less hidden.
q.1let x be a random variable with probability density function fxc1-x2 -1ltxlt10 elsewherea what is the value of c?b
Briefly explain the theory of reciprocal demand. How does it provide a meaningful explanation of the international term of trade?
Labor market ex for monopsonist. Labor Demand is Qd= 220-5w. Labor supply is Qs=-45+8w. Union has no market power, and so league acts as a monoposonsit facing marginal expenditure curve. ME=Q/4+5.624 (This is the derivative of (labor supply curve sol..
Draw a supply and demand curve, label X & Y axis and show equilibrium. Show a shift in demand and supply, and why it has occurred (non-price determinants). Describe all changes. Show in two or more graphs and use 2 examples for each - supply and dema..
Use several alternative discount rate values (1% to 10%) to investigate the sensitivity of the present value of net benefits of the dam in exercise (1) to the assumed value of the real discount rate. Determine the "breakeven" value of the discount ra..
The marginal cost of preparing a large latte in a specialty coffee house is constant at $1. The firm's market research reveals that the elasticity of demand for its large lattes is constant, with a value of about -1.3. If the firm wants to maximize p..
The City Council in Bigtown is debating whether to give monopoly rights to Bigtown Cable TV, Inc. Bigtown Cable is arguing that monopoly rights will allow it to employ more people at higher wages. As the staff economist for the City Council, analyze ..
Now consider the following information for the U.S.: During 2014, consumption expenditures increased by $20.5 billion, gross private domestic investment declined by $8.8 billion, and government expenditures increased by $14.4 billion. In addition, th..
As a manager of a chain of movie theaters that are monopolies in their respective markets, you have noticed much higher demand on weekends than during the week. You therefore conducted a study that has revealed two different demand curves at your mov..
Prides herself in getting her assignments graded and back to the students in a timely manner. However, she just briefly glances at papers
Estimate the regression coefficients using ordinary least squares also interpret them. Predict the weekly sales for a store with 10 feet of shelf space situated at the back of the aisle.
Suppose people read reports that eating oatmeal helps prevent heart disease. What is the effect of this change on the equilibrium price of oatmeal.
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