The "Spotlight on Small Business" Box in Chapter 2 Is

question 99

Multiple Choice

The "Spotlight on Small Business" box in Chapter 2 is titled, "The Key to Capitalism is Capital." Which of the following statements best describes the message of this story?

• A)This box explains that the only important factor of production for most businesses is capital.
• B)This story explains that loans for large capital investments come with sizeable interest rates, but usually produce better results.
• C)Corruption has prevented good will institutions from making large capital investments in developing countries.
• D)Micro-lending has proven to lift impoverished entrepreneurs to a better standard of living.

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Definitions:

External Costs

Costs not borne by the producer or consumer of a good or service, but rather by third parties or the environment, often not included in the price of the good or service.

Hidden Environmental Cost

The indirect environmental impact and expenses not immediately apparent or accounted for in the pricing of goods and services.

Oil-Spill Clean Up

Oil-spill clean up involves the methods and technologies used to remove or mitigate the effects of oil spills in the environment, focusing on preserving marine and coastal ecosystems.

Product Disposal

The process of discarding, recycling, or destroying products that are no longer useful or necessary.