Which of the following is the best explanation for why individuals own small businesses?
A. To gain experience for their next job.
B. Because they cannot earn a living working for corporate America.
C. The expectation of profit.
D. To provide a product consumers want.
Answer: C
You might also like to view...
In addition to being subject to the Fed's reserve requirements, the banks are also required to maintain a capital requirement, which is
A) the ratio of its deposits to its reserves. B) the ratio of its loans to its reserves. C) the ratio of its total assets to its total liabilities. D) the ratio of its equity to its total assets.
Nonactivists argue against the use of discretionary monetary policy and rules-based monetary policy
Indicate whether the statement is true or false
In a capitalistic economy:
A. consumers are not sovereign. B. there is a reliance on the market system. C. markets are not competitive. D. the government owns the means of production.
Susan Chen is a stock analyst. She values two goods: money (income) and her integrity. Her bonus is based on the number of investments she recommends to the company. Generally speaking, the higher the bonus she receives,
A. the smaller is the shift in her budget line. B. the more she is willing to trade off her integrity for money. C. the less she is willing to trade off her integrity for money. D. the more she is indifferent to changes in the level of bonus.