Econ Final Exam Questions (PDF)

Which of the following types of businesses consist of two or more people that pool their resources and knowledge together? Which of the following types of businesses consist of two or more people that pool their resources and knowledge together? - Partnerships What is one of the primary benefits...

Which of the following types of businesses consist of two or more people that pool their resources and knowledge together? Which of the following types of businesses consist of two or more people that pool their resources and knowledge together? - Partnerships What is one of the primary benefits with forming a corporation? - Limited liability Not-for-profits are similar to other types of businesses however, their main advantage is that - Profits are not taxed In what year was the Internal Revenue Code amended to prevent non-profits from endorsing or opposing political candidates? - 1954 Which church took out a full-page ad in the USA Today and the Washington Times newspapers advocating against voting for a president? - The Church at Pierce Creek. Which of the following types of costs are not related to production costs and include the cost of negotiating an agreement, and enforcing compliance? - Transaction cost Ronald Coase created one of his most important pieces of work titled "The Problem of Social Cost" in what year? - 1960/1961 For simple, repetitive transactions that involve no commitment to specialized resources, the transaction costs of market coordination tend to be - Low The primary gains from expansion include a stable framework, reduction of opportunism, and the ability to - Adjust to unexpected changes The primary losses from expansion include the loss of economies of scale, greater bureaucratization, and - The loss of higher power incentives.