Author Question: According to Coase, the optimal allocation of resources is guided by a. the decisions of a firm's ... (Read 44 times)

segrsyd · **on:** Jun 30, 2018

According to Coase, the optimal allocation of resources is guided by
a. the decisions of a firm's managers
b. market prices when market transaction costs are greater than the firm's internal organization costs
c. the decisions of a firm's managers when market transaction costs are greater than the firm's internal organization costs
d. the decisions of a firm's managers when market transaction costs are less than the firm's internal organization costs
e. entrepreneurs

Question 2

Which of the following statements concerning speculators is true?
a. There is no risk involved in speculative activity.
b. They simultaneously buy and sell a currency in different markets.
c. They hope to profit by trading a currency at a different exchange rate later.
d. Their actions do not affect exchange rates.
e. Their actions are exactly like those of arbitrageurs.