Which of the Following Statements Is Most CORRECT

question 6

Multiple Choice

Which of the following statements is most CORRECT?

• A) The high value of the U.S.dollar relative to Japanese and European currencies in the 1980s,made U.S.companies comparatively inexpensive to foreign buyers,spurring many mergers.
• B) During the 1980s,the Reagan and Bush administrations tried to foster greater competition and they were adamant about preventing the loss of competition;thus,most large mergers were disallowed.
• C) The expansion of the junk bond market made debt more freely available for large acquisitions and LBOs in the 1980s,and thus,it resulted in an increased level of merger activity.
• D) Increased nationalization of business and a desire to scale down and focus on producing in one's home country has virtually halted cross-border mergers today.
• E) Because strategic alliances and joint ventures are easy to form and enable firms to compete better in the global economy than would mergers,merger activity has virtually come to a halt in the 21st century.