Economics professors are well aware of the importance of incentives.Which of the following situations shows the use of a positive incentive?
A) Students who show up late to class will not be allowed in the classroom.
B) Students who do not have a doctor's note will not be allowed to take an exam at a different time.
C) Students can choose whether they want to attend class-there is no attendance policy.
D) Students can choose to get a higher grade by doing extra credit work.
E) The professor decides to teach the class by reading out of the textbook to the entire class.

Question

Quizplus · Accepted Answer

By offering the opportunity to earn a higher grade through extra credit work, the professor is providing a positive incentive for students to put in additional effort and improve their performance.

Economics Professors Are Well Aware of the Importance of Incentives