Valuable Capabilities

question 38

Multiple Choice

Valuable capabilities

• A) allow the firm to exploit opportunities in its external environment.
• B) allow the firm to neutralize threats in its internal environment.
• C) allow the firm to exploit opportunities or neutralize threats in its external environment.
• D) none of the above are correct.

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Definitions:

Short Run

A period in economics during which at least one input is fixed, limiting the capability of the economy or business to adjust to changes in demand or conditions immediately.

Long Run

The long run is a period in economics in which all factors of production and costs are variable, allowing full industry adjustment to changes.

Federal Funds Rate

The interest rate at which banks make overnight loans to one another

Money Demand

The desire to hold cash rather than other forms of assets due to its liquidity, determining how much money is needed for transactions, precautionary, and speculative motives.