Which of the Following Is NOT an Advantage of Private

question 60

Multiple Choice

Which of the following is NOT an advantage of private debt over public debt?

• A) It is liquid.
• B) It need not be registered with the U.S. Securities and Exchange Commission.
• C) It has to have interest and principal payments made upon it.
• D) It does not dilute the ownership of a firm.

---

Definitions:

Marginal Revenue Product

The additional revenue generated from employing one more unit of a resource, factor of production, or input.

Perfect Competition

An industry with so many firms that no one firm has any influence over price, and firms produce an identical product.

Imperfect Competition

All market structures except perfect competition; includes monopoly, oligopoly, and monopolistic competition.

Marginal Revenue Product

The additional revenue generated from employing one additional unit of a resource, considering all other inputs constant.