Which of the following is true?

Question

Quizplus · Accepted Answer

This is because when individuals do not see a direct link between their level of productivity and the reward they receive, they may feel less motivated to work harder or be less innovative in creating income. Choices A, C, and D are not true. The size of the economic pie can grow or shrink depending on various economic factors, taxes and income transfers can affect the incentive to engage in productive activity, and the distribution of income can have an impact on the total output of an economy.

Which of the Following Is True