Some economists believe that one factor that caused the financial crisis of 2007-2009 was top managers of large financial services firms making riskier investments than were in the best interests of the firms' shareholders

Indicate whether the statement is true or false


TRUE

Economics

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The country in which two of the categories of banks are clearing banks and merchant banks is

A) the United Kingdom. B) the United States. C) Japan. D) Germany.

Economics

Limits on the value of the assets that commercial banks can acquire relative to their capital is known as:

A) equity requirements B) capital requirements C) required reserves D) asset requirements

Economics

When governments grant patents:

A. producers earn profits that are substantially higher than would occur in a competitive market. B. consumers pay a higher price than they would in a competitive market. C. consumers are likely to pay lower prices than they would in a competitive market. D. both producers earn profits that are substantially higher than would occur in a competitive market and consumers pay a higher price than they would in a competitive market are correct.

Economics

Figure 9.3Figure 9.3 shows the cost structure of a firm in a perfectly competitive market. If the market price is $6, then the firm will:

A. be better off producing 150 units than shutting down. B. be better off exiting the market and using the resources for other production activities. C. be better off shutting down in the short run and waiting until the market price rises above $10. D. None of these

Economics