Mergers between companies producing widely divergent goods is called a
A) conglomerate merger.
B) diagonal merger.
C) horizontal merger.
D) vertical merger.
A
You might also like to view...
When the actual reserve/deposit ratio is less than the desired reserve/deposit ratio banks:
A. do nothing because this is a profitable situation. B. stop making loans. C. make more loans in order to earn interest. D. send the extra reserves to the central bank.
The firms in a market have decided not to compete with one another and have agreed to limit output and raise price
A) This practice is known as concentrating and is legal in the United States and Canada. B) This practice is known as collusion and is illegal in the United States. C) In this way firms take advantage of economies of scale. D) This is an effective barrier to entry, but is illegal in the United States.
In a market economy, supply and demand are important because they
a. are direct policy tools used by government agencies to regulate the economy. b. illustrate when an market is in equilibrium, but they are not helpful when a market is out of equilibrium. c. can be used to predict the impact on the economy of various events and policies. d. All of the above are correct.
Suppose you win a small lottery and you are given the following choice: You can (1) receive an immediate payment of $10,000 or (2) three annual payments, each in the amount of $3,600, with the first payment coming one year from now, the second two years from now, and the third three years from now. You would choose to take the three annual payments if the interest rate is
a. 2 percent, but not if the interest rate is 3 percent. b. 3 percent, but not if the interest rate is 4 percent. c. 4 percent, but not if the interest rate is 5 percent. d. 5 percent, but not if the interest rate is 6 percent.