Managerial Economics – ECP 3703Eastern Florida State College – Palm Bay CampusIndividual Problems Answer Keythe managers would generate and then deliver to the state. In cases where the incumbent manager was the winning bidder, firm productivity tended to increase dramatically. When outside bidders won, there was little productivity improvement. If incumbent managers were not generally more qualified, how can you explain this result?
selection problem, and why soft selling is a successful signal.