Information Asymmetry is:
A) false information spread by competitors.
B) when two pieces of information counteract each other.
C) when some know more than others.
D) when information is not reflected properly in the market.
E) incomplete information.
C
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With arbitrage, a trader attempts to purchase a foreign currency at a low price and, at a later date, resell the currency at a higher price in order to make a profit.
a. True b. False
A company that ships a large quantity of its products from its manufacturing plant to a warehouse that it leases until the customer is ready for the product should record the delivery as revenue
a. True b. False Indicate whether the statement is true or false
F. Marston, Inc. has developed a forecasting model to estimate its AFN for the upcoming year. All else being equal, which of the following factors is most likely to lead to an increase of the additional funds needed (AFN)?
A. A switch to a just-in-time inventory system and outsourcing production. B. The company reduces its dividend payout ratio. C. The company switches its materials purchases to a supplier that offers a longer credit period (with all other terms held equal). D. The company discovers that it has excess capacity in its fixed assets. E. A sharp increase in its forecasted sales.
According to the U.S. Bureau of Labor Statistics, by 2018, about one in four members of the labor force will be
a. Hispanic. c. age 55 or older. b. African American. d. female.