Kenneth Arrow discussed two important situations in which profit maximization can be
socially inefficient. One of these occurs when
a. there is an imbalance of knowledge between buyer and seller.
b. business would be an “inept custodian” of public values.
c. firms are unwilling or simply refuse to maximize profits.
d. corporate culture promotes dysfunctional social relations.
Answer:
When employees at all occupational levels are asked to rank what is important to them,
the order that put them in is:
a. good pay; enough authority to carry out the work; sufficient help, support, and
information; and interesting work.
b. interesting work; sufficient help, support, and information to accomplish the job;
enough authority to carry out the work; and good pay
c. sufficient help, support, and information to accomplish the job; interesting work;
enough authority to carry out the work,and good pay
d. enough authority to carry out the work; good pay; interesting work; and sufficient
help, support, and information to accomplish the job
Answer: