The partnership as an organization structure is flawed because:
A)no partner can capture the whole output his effort creates.
B)people tend not to be honest.
C)courts are inefficient.
D)private incentives bring out the worst in people.

Question

Quizplus · Accepted Answer

In a partnership, the output created is jointly owned, so no single partner can capture the whole output their effort creates. This can create issues when it comes to motivation and incentivization.

The Partnership as an Organization Structure Is Flawed Because