A manager's job entails gathering information, interpreting that information and making judgments on that information and thus is less susceptible to moral hazards than jobs that require repetitive tasks and less subjective decision making.

Question

Quizplus · Accepted Answer

Repetitive task-based jobs are relatively easy to monitor and are less subject to moral hazard than manager's jobs which are more difficult to monitor and therefore higher in moral hazard risk.

A Manager's Job Entails Gathering Information, Interpreting That Information and Making