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Jim Range is the manager at a USPS office which requires arduous physical labor of their employees. Jim wants to hire an employee. During the
Jim Range is the manager at a USPS office which requires arduous physical labor of their employees. Jim wants to hire an employee. During the interview, Sofia Caster tells Jim that she is a hard worker. But Sofia Caster realizes once she is hired that the federal government and its agencies cannot fire their employees unless their performance is extremely poor. She thus decides to work minimally as a result of this information. The problem was created because of? A. Moral hazard. B. Misaligned incentives. C. The principle agent problem. D. Asymmetric information
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