Employers give full-time employees that have been on the job more than three years employee stock options.This is an example of:
A) people following incentives.
B) thinking on the margin.
C) irrational behavior.
D) opportunity costs.

Question

Quizplus · Accepted Answer

Giving employees stock options is an incentive for them to stay with the company long-term and work harder to increase the company's value, which in turn benefits both the employee and the employer. This is an example of people following incentives.

Employers Give Full-Time Employees That Have Been on the Job