Firms organize production by using a mix of
A) command and incentive systems.
B) market and agency systems.
C) command and market systems.
D) incentive and agency systems.

Question

Quizplus · Accepted Answer

Firms organize production by using a mix of command and incentive systems. Command systems are those in which the government or other central authority directs the production of goods and services. Incentive systems are those in which firms use rewards and punishments to motivate workers to produce more.

Firms Organize Production by Using a Mix of