1- A half-hour interview provides very little information about the likely success of a job candidate.

		Noise
		Bias

2-Situation: When Jeff Weitzen took over Gateway, he instituted a new policy to save money on customer service calls. Reps who spent more than 13 minutes talking to a customer didnt get their monthly bonuses, writes Katrina Brooker (Business 2.0, April 2001). As a result, workers began doing just about anything to get customers off the phone: pretending the line wasnt working, hanging up, or oftenat great expense sending them new parts or computers. Not surprisingly, Gateways customer satisfaction rates, once the best in the industry, fell below average.

Workers are engaging in____________________.

		reporting distortion
		nothing that meets the definition of measure management
		operational distortion

3-Reference letters hardly ever say anything negative about a job applicant. This is an example of:

		Noise
		Bias
		Moral hazard
		Risk aversion