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corie corie
wrote...
Posts: 767
6 years ago
The problem of production in multi-plant firms with asymmetric information can be solved by paying the manager
A) a piece rate, some constant amount per unit of output produced.
B) a larger amount for each unit than was paid for the previous unit, to reflect increasing marginal cost.
C) a smaller amount for each unit than was paid for the previous unit, to reflect decreasing marginal revenue.
D) an annual bonus that increases with each unit of output up to capacity, and decreases with each unit of output past capacity.
E) an annual bonus that is calculated decreases with each unit of output up to capacity, and increases with each unit of output past capacity.
Textbook 
Microeconomics

Microeconomics


Edition: 8th
Author:
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Answer verified by a subject expert
oracledarrenoracledarren
wrote...
Posts: 455
6 years ago
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corie Author
wrote...

6 years ago
Thanks
wrote...

Yesterday
I appreciate what you did here, answered it right Smiling Face with Open Mouth
wrote...

2 hours ago
this is exactly what I needed
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