If money raised in the issue of new stocks and bonds is used effectively,
a. the income from them is not subject to double taxation.
b. a firm need not meet SEC requirements.
c. the stock is being "watered."
d. they generate the means of repayment.
d
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What will be the principal and most immediate effect on the supply or demand for raw cotton grown in the United States if new EPA regulation, which prohibit the use of certain pesticides and herbicides widely used by cotton farmers, are introduced?
A) Decrease in demand B) Decrease in supply C) Increase in demand D) Increase in supply
Natural monopolies are firms that
a. have a downward-sloping long-run average cost curve over the entire range of market demand b. have an upward-sloping long-run average cost curve over the entire range of market demand c. are protected against the entry of new firms by patents, licenses, or other legal restrictions d. control a nonreproducible resource that is critical to production e. have been created over time by the mergers of many smaller firms
The tendency of bankers to take unwarranted risks in making loans because deposits were insured is an example of _____
a. anchoring bias b. self-serving bias c. moral hazard d. hazard pay e. banker's lobbying
A man is fired from his job because he was late for work too many times. While he is searching for another job he would be classified as
A. structurally unemployed. B. frictionally unemployed. C. cyclically unemployed. D. not in the labor force because his employer had a legitimate reason for firing him.