In an environment ______ with workers,both OIPs and salaries can exist.______ attract high-ability workers while ______ attract low-ability workers.

Question

Quizplus · Accepted Answer

In a heterogeneous environment with workers of varying abilities, both OIP (outcome-based incentive) schemes and salaried schemes can exist. OIP schemes are likely to attract high-ability workers who are motivated by the potential for higher rewards based on their performance, while salaried schemes may be more appealing to low-ability workers who may not have the skills or motivation to perform at higher levels.

In an Environment ______ with Workers,both OIPs and Salaries Can