If Capital Has a Positive Rate of Return, Then by Devoting

question 20

Multiple Choice

If capital has a positive rate of return, then by devoting effort toward the production of capital goods, future total production will:

• A)increase, but not necessarily sufficiently to pay back replacement costs.
• B)increase sufficiently to pay back replacement costs, no more, no less.
• C)increase sufficiently to pay back replacement costs and yield a return in the form of a percentage interest per annum.
• D)increase sufficiently to pay back replacement costs, yield a return in the form of a percentage interest per annum, and also compensate those who originally abstained from consumption.
• E)do none of the above.

---

Definitions:

Nonadaptive Organizational Cultures

Organizational environments that struggle to adjust to changes, potentially leading to stagnation or failure.

Risk-Reducing Management

Management practices aimed at identifying, analyzing, and taking proactive steps to minimize or eliminate risks to an organization's capital and earnings.

Leadership Initiatives

Programs or actions taken by individuals or organizations aimed at developing or enhancing leadership skills and qualities among employees or team members.

Internalize Values

The process by which individuals adopt and integrate the values, beliefs, and norms of a group or society as their own.