(Consider This) Since 1990, U.S. immigrants have founded ____ of every _____ public companies financed by venture capital
A. 1; 4
B. 1; 3
C. 1; 2
D. 2; 5
Answer: A
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A fallacy of composition is to assume that
a. you can determine the composition of a complex product just by examining its exterior properties b. consumer durable goods today do not last as long as they did a generation ago c. any mistakes made in producing a product using an assembly line technique will lead to a compounding of errors as the product moves down the line d. what is true for any individual component in a group is true for the group as a whole e. when I was young I liked cotton candy, but now that I'm older I no longer like it
The largest reduction in a portfolio's risk is achieved when the number of stocks in the portfolio is increased from
a. 80 to 100. b. 40 to 80. c. 10 to 20. d. 1 to 10.
Is there a multiplier effect from increases and decreases in net exports?
What will be an ideal response?
Appendix: Each partner in a simple profit-sharing contract that splits the independently verifiable sales revenue minus unobservable cost has an incentive
a. to reject an automatic renewal of the contract b. to understate fixed cost c. to overstate avoidable cost d. to understate customer loyalty for repeat purchases e. to renew the partnership contract