The difference between the acquisition price of a company and the fair value of the acquired assets of the business is referred to as
a. float
b. goodwill
c. depreciation
d. amortization
e. inventory
c. depreciation
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It is always the best strategy to
A) not always be the first mover. B) be the first mover. C) never innovate. D) to seek accounting profits.
A zero inflation rate is not the Fed's objective because
a. that would cause prices to rise b. that would cause price to fall c. it knows that it cannot attain a zero rate d. it believes that the true rate of inflation is lower than what is measured by the Consumer Price Index (CPI) e. high rates of inflation may help labor markets adjust more easily
Which of the following events must cause equilibrium quantity to rise?
a. demand increases and supply decreases b. demand and supply both decrease c. demand decreases and supply increases d. demand and supply both increase
Behavioral economists examine choices that consumers make that are not economically rational. Economists generally assume that people are rational; that is, they weigh the benefits and costs of an action and choose an action only if the benefits outweigh
the costs. Why do consumers not act rationally when the result is that they make themselves worse off? What will be an ideal response?