What is an informational cascade?
A) An excess flow of market information that makes it difficult for an investor to form a rational decision.
B) A continual decline in the quality of market information from public sources due to sequential budget cuts.
C) A continual increase in the quality of market information from public sources due to broader use of the internet by market participants.
D) A sequence of decisions based on the actions of others rather than fundamental information.
D
You might also like to view...
Lisa's hourly pay increases from $8 to $10 as her performance improves. We can conclude that:
a. her marginal cost of leisure declines. b. her opportunity cost of leisure increases. c. her opportunity cost of work increases. d. her marginal cost of work declines.
The hydrologic cycle illustrates the
a. natural process that links all water resources together b. natural movement of water from the ocean to wetlands c. link between point and nonpoint sources d. none of the above
Given the total cost function TC = 2,000 + 2Q, when output is 1,000 units average total cost is ________ and total fixed cost is ________.
A. $2; $2 B. $4; $2 C. $4,000; $2,000 D. $4; $2,000
What is the opportunity cost of investing $10,000 of your own money into a business you wish to start?
What will be an ideal response?