Many economists and policymakers have raised concerns about crowd funding due to the existence of:
A) information costs facing small investors
B) information costs facing business start ups
C) transaction costs facing business start ups
D) increased competition for banks in funding business start ups
A
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Suppose the United States eliminates high tariffs on German bicycles. As a result, we would expect
A. the price of German bicycles to increase in the United States. B. employment to decrease in the U.S. bicycle industry. C. employment to decrease in the German bicycle industry. D. profits to rise in the U.S. bicycle industry.
The broadest indication of economy-wide inflation is captured by the
A) Consumer Price Index. B) Gross Domestic Product (GDP) deflator. C) Producer Price Index. D) Personal Consumption Expenditure Index.
Refer to the accompanying figure. At point D, the opportunity cost of making milk is:
A. high because productive resources that are better-suited to making movies are being used to make milk. B. high because productive resources that are better-suited to making movies are not being used to make milk. C. low because the economy is specializing in making milk. D. high because the economy is not operating efficiently.
To prevent people paying a higher percentage of their income in taxes even when their real incomes have not changed, Congress:
A. implemented a flat tax. B. indexed the income tax brackets to the CPI. C. reduced the capital gains tax. D. deflated the income tax brackets to the CPI.