Which of the following mergers is an example of vertical integration?

A. AT&T purchases MCI.
B. IBM purchases a California computer chip company.
C. Bethlehem Steel purchases U.S. Steel.
D. GM purchases Ford.


Answer: B

Economics

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The Continental Congress faced several constraints in its effort to finance the Revolutionary War. The largest source of funds for the War was:

a. excise taxes. b. domestic bond sales. c. borrowing from foreign powers, such as France. d. printing money.

Economics

Which self-correcting mechanism do businesses have but government agencies do not?

a. Competitors b. Budgets c. Contracts d. Administrative tasks

Economics

The value (purchasing power) of each unit of money

a. is largely independent of the money supply. b. tends to increase as the money supply expands. c. increases as prices rise. d. tends to decline as the money supply expands in relation to the availability of goods and services.

Economics

The economic impact of the multiplier is ____, and then becomes ____.

A. slow; faster B. small; tiny C. large; smaller D. small; larger

Economics