A firm that finds it extremely expensive to monitor the output of each worker will likely pay its workers
A) with piece rates.
B) with time rates.
C) with incentive pay.
D) according to how much each worker produces.
E) on commission.

Question

Quizplus · Accepted Answer

When it's extremely expensive to monitor the output of each worker, firms are more likely to pay workers with time rates (e.g., hourly or salary) because this method doesn't require monitoring each worker's individual output.

A Firm That Finds It Extremely Expensive to Monitor the Output