Creative destruction is:
A. the process by which large firms buy up small firms.
B. the process by which new firms and new products replace existing dominant firms and
products.
C. a term coined many years ago by Adam Smith.
D. applicable to planned economies but not to market economies.
Answer: B
You might also like to view...
Answer the following question based on the information given below: Deposits at the central bank = 400 U.S. Government Securities = 600 Checking Deposit = 1,700 Loans = 800 Stockholder's Equity = 70 Other Assets = 450 Other Liabilities = 380 Borrowing from the central bank = 250 Cash in the Vault = 150 If the reserve requirement is 20%, the level of excess reserves equals:
a. 210 b. 440 c. 70 d. 550 e. Cannot be determined with this information.
People cannot be prevented from using a good if the good is
a. a private good or a public good. b. a private good or a common resource. c. a public good or a common resource. d. a public good or a club good.
Explain the way an increase in supply with demand remaining constant and a decrease in supply with demand remaining constant are different.
What will be an ideal response?
The vertical intercept of line (3) on the graph below is:
A. 16
B. 24/16 or 1.5
C. 24
D. -24/16 or -1.5