"Bootstrap financings" are buyouts financed by
A) the company managers' own assets.
B) finance companies.
C) junk bonds.
D) new issuance of bonds.
B
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The figure above shows the market for milk. When the efficient quantity of milk is produced, the marginal social benefit from the last gallon is
A) $2.00. B) $2.50. C) $3.00. D) $3.50.
A business incurs the following costs per unit: Labor $5/unit; Materials $3/unit and rent $5000/month. If the firm produces 1000 units a month, the total fixed costs equals
a. $5,000 b. $8,000 c. $13,000 d. $3,000
Jill is the best eye surgeon in town, and she earns $350,000 a year. Susan is an average eye surgeon in town, and she earns $100,000 a year. Jill's skills as a surgeon
a. are valued more by the market relative to Susan's and that explains why her income is higher than Susan's. b. are valued less by the market relative to Susan's and that explains why her income is higher than Susan's. c. are valued less by the market relative to Susan's and that explains why her income is lower than Susan's. d. are more expensive because she receives a compensating differential.
A favorable supply shock
a. raises unemployment and the inflation rate. b. raises unemployment and reduces the inflation rate. c. reduces unemployment and raises the inflation rate. d. reduces unemployment and the inflation rate.