The Sentiment That Milton Friedman Expressed in an Article Published

question 38

True/False

The sentiment that Milton Friedman expressed in an article published in 1970-that the firm is an economic enterprise first,foremost,and only-has become widely accepted.

Understand how people rationalize problem behaviors through defense mechanisms.

Understand the concepts of frictional and structural unemployment and their causes.

Analyze the role and effects of public policy on various types of unemployment.

Differentiate between the natural rate of unemployment and cyclical unemployment.

---

Definitions:

Impairment Loss

A reduction in the book value of an asset when its market value falls below its carrying amount on the balance sheet.

Straight Line Amortization

An approach to systematically allocate the cost of an intangible asset throughout its period of usefulness.

Fair Value Enterprise

An approach to valuing a company based on the current price at which its assets or services could be sold or settled between knowledgeable, willing parties in an arm's length transaction.

Non-Controlling Interest

The portion of equity interest in a subsidiary not owned by the parent company, reflecting the minority shareholders' share of the subsidiary's net assets and profits.