If the receiver in the "ultimate bargaining game" cares not just about his final wealth level but also about fairness,
A. the allocator will make a one-sided offer.
B. the receiver will reject a one-sided proposal.
C. the receiver will always receive the full $20.
D. the receiver will accept a one-sided offer.
Answer: B
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Risk premiums on corporate bonds tend to ________ during business cycle expansions and ________ during recessions, everything else held constant
A) increase; increase B) increase; decrease C) decrease; increase D) decrease; decrease
If the Fed purchases $50,000 in T-bills from a bank, by how much will the bank's excess reserves increase?
A) by $50,000 B) by $50,000 times the required reserve ratio C) by $50,000 divided by the required reserve ratio D) Not enough information has been provided to answer the question.
Suppose that each of the seven dwarfs buys 4 mugs of ginger ale per week from Snow White's cafe, when the price per mug is $2 . If the seven dwarfs are the entire market demand for Snow White's ginger ale, then which of the following is the correct value for market quantity demanded of ginger ale at a price of $2?
a. 4 b. 8 c. 7 d. 28
One important lesson to keep in mind during benchmarking is that
A. benchmarking is possible only if all environments for the firms under consideration match. B. differences in organizational structures do not matter. C. benchmarking is always a value-adding strategy. D. different architectures are appropriate for different environments.