A Decrease in the Demand for a Service Means That

question 16

Multiple Choice

A decrease in the demand for a service means that the

• A)demand curve shifts to the right.
• B)demand curve shifts to the left.
• C)supply curve shifts to the right.
• D)supply curve shifts to the left.

---

Definitions:

Minority Shareholders

Shareholders who own less than 50% of a company's shares and, therefore, do not have a controlling interest in company decisions.

Exclusionary Self-tender

A corporate strategy in which a company offers to purchase its own shares from shareholders, typically at a premium, as a means to reduce the number of outstanding shares and thus potentially increase the share price.

Repurchase Agreement

A financial transaction in which one party sells a security to another party with the promise to buy it back at a specified date and price.

Poison Pill

A strategy used by companies to deter hostile takeovers by making the company less attractive to the potential acquirer.