Explain how the market can reduce the incentive for credit-rating firms to take advantage of conflicts of interest
What will be an ideal response?
If a credit-rating firm gives a higher than deserved rating to debt issuers, then the ratings from the firm will lose credibility. If that happens, then the ratings will have a lower value in the marketplace.
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If a firm faces a downward-sloping demand curve, its marginal revenue is
a. less than its marginal cost b. greater than price c. less than price d. equal to price e. equal to its total revenue
The Industrial Revolution refers to the period 1950-1970, which was characterized by rapid manufacturing sector growth in the United States
a. True b. False Indicate whether the statement is true or false
Explain how globalization has caused some goods to be cheaper.
What will be an ideal response?
Communist theory calls for each of the following except
A. the abolition of private property. B. from each according to his ability, to each according to his needs. C. the free operation of the forces of demand and supply. D. the means of production owned by the government and/or by the workers.