In profit centers
a. Managers are difficult to evaluate because there is no simple metric of how well they performed
b. Managers typically do not have the information to run their division efficiently
c. Managers' decisions can affect other divisions
d. Managers typically do not have the incentives to run their division efficiently
c
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Empirical evidence that changes in monetary policy do not cause rapid price adjustments ________
A) is consistent with the Keynesian emphasis on short-run economic fluctuations B) suggests that policymakers need not worry much about inflation C) remains limited and unconvincing D) is consistent with the classical dichotomy E) none of the above
Whenever a country has an absolute advantage in the production of a good, that implies that the country should specialize in the production of that good
a. True b. False Indicate whether the statement is true or false
A special interest group has a good chance of redistributing (transferring) income from others to itself if the
A) costs of the transfer are spread over a very large number of people. B) costs of the transfer are spread over a very small number of people. C) costs of the transfer are spread over the same number of people that comprise the special interest group. D) the number of members in the special interest group is greater than 100. E) none of the above
Considering a call option, if the price of the underlying asset decreases:
A. the intrinsic value of the option decreases if it is above zero. B. the value of the option increases. C. the strike price decreases. D. the intrinsic value of the option increases if it is above zero.