If laborers at a firm choose to shirk, what is the expected outcome?

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Study for the University of Central Florida ECO2023 Principles of Microeconomics Final. Prepare with multiple choice questions, flashcards with helpful hints and explanations. Ace your exam!

When laborers at a firm choose to shirk, they are not exerting their full effort or commitment to their tasks. This lack of effort typically leads to decreased productivity. As a result, the firm's output will be less than what it would be if the laborers were fully engaged and working to their potential.

Shirking often results in lower quality work or missed deadlines, which can directly impact the overall output of the firm. Additionally, if a significant number of workers choose to shirk, it can create a ripple effect affecting team dynamics and the morale of other employees who are working diligently. Together, these factors contribute to a situation where the overall output is diminished compared to a scenario where laborers are not shirking.

This understanding illustrates the importance of motivation, monitoring, and incentives in labor settings, underlining why firms invest in strategies to minimize shirking behavior among employees.