A. AR minus AC is maximized
B. MC = MR
C. quantity sold is maximized
D. sales revenue is maximized
A. profit myopia
B. principal-agent problem.
C. merger mania.
D. moral hazard
A. respect of other managers.
B. maximum profits.
C. job security
D. a large number of subordinates
A. does not know its MC and MR
B. has too much information
C. has too little information
D. The first and third option
A. sole proprietors
B. partnerships
C. public limited companies
D. monopolies
A. they are afraid of encouraging takeovers.
B. holders have little control over managers.
C. holders want higher dividends.
D. both the first and third option.
A. firms do not know how to maximize profits.
B. firms have other aims
C. it does not explain monopolistic competition
D. Both the first and second option
A. None of these answers
B. Disagree because they have different scientific judgments
C. really don’t disagree at all. It just appears that they disagree
D. disagree because they have different values
A. the impact of oil prices on car production
B. The impact of money on inflation
C. The impact of technology on economics growth
D. The impact of the deficit on saving
A. Macroeconomic
B. Microeconomics
C. statements of description that can be tested
D. Statements of prescription that involve value judgments.