A basic feature of the classical system of self-regulating markets was that

A) overproduction and unemployment would cause prices and wage rates to increase.
B) flexible wages and prices would eliminate unemployment and overproduction.
C) overproduction would never occur.
D) an increase in saving would cause an increase in the interest rate and a decrease in investment spending.
E) rising unemployment caused wage rates to rise,which reduced the demand for labor.

Thrift institutions encountered serious difficulties in the 1970s because:

A) money market mutual funds became serious competitors for their deposits.
B) the U.S.Treasury deposited larger sums of money than the thrift institutions could effectively manage.
C) the interest rates they had to pay on deposits began to fall.
D) each of the largest banks increased the pressure on the thrifts by building a nationwide network of branch banks.
E) the FDIC increased the reserve requirement for thrifts.

Cycle inventory exists in a supply chain because different stages exploit economies of scale to lower total cost.

A party who claims that he or she could not understand contractual terms because of tiny, hard-to-read print on the back of an agreement and the excessive use of legalese is referring to which of the following?

A) Substantive unconscionability.
B) Adhesion conscionability.
C) Procedural unconscionability.
D) Exculpatory clauses.
E) An in pari delicto agreement.

A potential advantage of virtual teams is that computer mediation focuses interaction and decision making on facts and objective information rather than on emotional considerations.

All of the following are true except

A) the last to be paid off,whether the corporation does well or goes bankrupt,are the common stockholders.
B) a key disadvantage of incorporating is limited liability.
C) corporations collect about 90 percent of all business receipts.
D) corporations are controlled by the common stockholders.