Conflict resolution of the stockholder-lender conflict in larger banking-oriented firms is most effectively accomplished by
A) financial intermediation (monitoring).
B) financial intermediation (ownership consolidation).
C) corporate governance.
D) None of the above.
B
You might also like to view...
A movie monopolist sells to students and adults. The demand function for students is QdS = 600 - 100P and the demand function for adults is QdA = 1,200 - 100P. The marginal cost is $2 per ticket. Suppose the movie theater can price discriminate. What price per ticket does the theater charge adults to maximize profits?
A. $4 B. $7 C. $6 D. $12
How would a decrease in consumer income affect the market for lawn mowers?
a. Demand would decrease, leading to an increase in price and a reduction in quantity sold. b. Demand would decrease, leading to a reduction in price and a reduction in quantity sold. c. Demand would increase, leading to an increase in price and an increase in quantity sold. d. Demand would increase, leading to a reduction in price and an increase in quantity sold.
The law of diminishing marginal product holds that as a variable input increases while other inputs are fixed, ______.
a. eventually the fixed inputs will increase at a rate equal to or below the variable increases b. labor demanded will be high at both very low and very high outputs creating a U- shaped curve c. the marginal revenue product will eventually cause the labor demand curve to turn upward d. at some point the increase will lose its effectiveness, and additions to output will decline
Economic profits are
A) total revenue minus explicit costs. B) total revenue minus implicit costs. C) total revenue minus explicit and implicit costs. D) total revenue minus accounting costs.