Answer: a. Under a personal services contract, the contractor’s personnel are subject to the supervision and control that prevails in relationships between the Government and its employees.
Explanation:
A personal service contract operates as though there is an employer-employee relationship between the Government and personnel under the contractor hired for the project.
This means that the contractor's personnel will be subject to the same supervision and controls that the government puts its own employees under.
Answer:
D
Explanation:
You always want to compensate someone based on their performance. This aligns the employees and company's goals together
I think the answer would either be a or b. Most likely the answer would be a.
If the government takes this approach, consumer surplus would increase.
A monopoly is when there is only one firm operating in an industry. A natural monopoly occurs when there is a high start-up cost associated with opening a business or a firm enjoys economies of scale.
Consumer surplus is the difference between the willingness to pay of a consumer and the price of the good. As the price of a good declines, consumer surplus increases. P2 is lower than P1, this means that if price is regulated to P2, consumer surplus would increase.
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