The Following Factors Encourage the Use of Centralized Decision Making

question 70

Multiple Choice

The following factors encourage the use of centralized decision making except:

• A)Large company size
• B)Large capital investment
• C)Heterogeneous product lines
• D)High degree of technology

---

Definitions:

Expected Price Level

The anticipation or forecast of future prices across an economy, affecting consumer and business decisions.

Long-Term Contracts

Agreements that extend over a significant period of time, often involving commitments to buy or sell goods or services or to provide employment.

Recessionary Gaps

Situations where an economy's actual output is less than its potential output, often characterized by unemployment and underutilized resources.

Natural Rate

The natural rate often refers to the unemployment rate when the economy is at full capacity, balancing the number of job seekers with job vacancies without accelerating inflation.