Big Ol’ Robots is a family company that has been in business for more than 15 years. The company has decided to incorporate. What will this mean for the ownership of the firm?
a. The corporation will be owned by its shareholders.
b. The company’s owners will reinvest profits to obtain more capital.
c. Venture capitalists will own a significant stake in the company.
d. The original owners will step down and no longer be part of the company.
a. The corporation will be owned by its shareholders
A corporation is a business that “incorporates”—that is owned by shareholders that have limited liability for the debt of the company but share in its profits (and losses).
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During the Great Depression, economists first began studying the relationship between
A) changes in nominal GDP and changes in real GDP. B) changes in aggregate expenditures and changes in GDP. C) changes in stock prices and changes in price controls. D) changes in GDP and changes in interest rates.
Which system of interest rates is theoretically worst for policy coordination among the industrial countries of the world? How has this played out since the 1980s?
What will be an ideal response?
Giving people income through unemployment insurance:
A. reduces seasonal employment because people find good matches, and change jobs less often. B. allows people to prolong their unemployment until they find a better match. C. creates one effect positive on unemployment. D. All of these are true.
Basically, the marginal principle helps us to evaluate the factors involved in taking an action or if doing something is worth the effort.
Answer the following statement true (T) or false (F)