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In class, we talked about the ratchet effect and how exceeding expectations in one year can increase a worker's benchmark for next year. An example
In class, we talked about the ratchet effect and how exceeding expectations in one year can increase a worker's benchmark for next year. An example of how workers respond to this is that federal government agencies spend all their remaining budget in the last weeks of September (the end of the fiscal year) to make sure that they do not come in under budget. Describe you would change the evaluation of federal agencies and their expenditures to ensure that this behavior does not happen
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