Suppose the Economics Department has asked for your help in evaluating the instructors in the department. What two performance measures would you recommend the department use? For each one, discuss the uncontrollable risk, potential for distortion and possible manipulation. Would you call each measure narrow or broad?
(Example: PM = student attendance rate. Risk = professors can't actually control whether students come to class or not. Distortion = I can't think of obvious distortions - perhaps making class really fun to the detriment of actual learning. Manipulation = the professor could bribe the students to come to class, by offering A's for anyone with a perfect attendance rate for example)