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Question: The directors of Ace Airlines have decided to incentivize their 1,000 employees by issuing every one of them 200 shares of stock. (Assume there is no problem of equity dilution, because the company has 40 million shares outstanding.) Under what circumstances might you expect this program to produce better employee performance?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M93113178

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