A public offer by one company to directly buy the stock of another company is known as
a. a tender offer
b. a red herring
c. an acquisition contract
d. a right of first refusal
e. a declaration of sale
a. a tender offer
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One requirement for an industry to be perfectly competitive is that in the industry there
A) are a few firms who control the market. B) are many firms for whom the efficient scale of production is small. C) is one firm that sells a product with no close substitutes. D) are many firms selling different products. E) is a barrier to entry that makes the entry of new firms difficult.
Neoclassical growth theory is based on the proposition that real GDP per person grows when
A) the population growth rate increases. B) the population growth rate decreases. C) technological advances occur. D) saving decreases.
Consumers gain from trade within a monopolistically competitive industry because:
a. prices fall and product varieties decrease. b. prices rise and product varieties increase. c. prices rise and product varieties decrease. d. prices fall and product varieties increase.
Which of the following is a limitation of serial correlation-robust standard errors?
A. The serial correlation-robust standard errors are smaller than OLS standard errors when there is serial correlation. B. The serial correlation-robust standard errors can be poorly behaved when there is substantial serial correlation and the sample size is small. C. The serial correlation-robust standard errors cannot be calculated for autoregressive processes of an order greater than one. D. The serial correlation-robust standard errors cannot be calculated after relaxing the assumption of homoskedasticity.