In Hindsight, the Decision of New England Merchants and Southern

question 138

Multiple Choice

In hindsight, the decision of New England merchants and southern planters to ally with small farmers, shopkeepers, and other pro-independence radicals to defeat the British seems puzzling as the balance of power in post-Revolutionary America shifted in favor of the radicals and threatened the interests of the pre-Revolutionary elite. However, the decision of the merchants and planters to join forces with the radicals may be considered __________ if each group considered the costs and benefits of the decision and speculated about future effects.

• A)rational
• B)irrational
• C)intelligent
• D)insane

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Definitions:

Authorized Shares

The maximum number of shares that a corporation is legally allowed to issue, as specified in its charter.

Common Stock

A form of corporate equity ownership, a type of security that represents ownership in a corporation and entitles the shareholder to vote on corporate matters.

Stockholders' Equity

Signifies the stake of shareholders in a corporation, determined by subtracting total liabilities from total assets.

Preference Rights

A set of privileges or priorities given to shareholders, such as the right to purchase new shares before the general public.