Economists Normally Assume That the Goal of a Firm Is

question 318

Multiple Choice

Economists normally assume that the goal of a firm is to earn i) profits as large as possible, even if it means reducing output.
Ii) profits as large as possible, even if it means incurring a higher total cost.
Iii) revenues as large as possible, even if it reduces profits.

• A) i) and ii) only
• B) i) and iii) only
• C) ii) and iii) only
• D) i), ii), and iii)

Learn how psychologists utilize various methods and tests, including personality inventories, to study and evaluate personality traits.

Understand the criticisms and limitations of different psychological perspectives and theories.

Explain the concept of learned helplessness and its implications for motivation and behavior.

Recognize the importance of a biopsychosocial approach in understanding and treating psychological disorders.

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Definitions:

Unanticipated Macroeconomic Events

Economic events that are unexpected and can have significant impacts on markets and investments, such as sudden changes in inflation or interest rates.

Security's Return

The total gain or loss experienced on an investment over a specified period, expressed as a percentage.

Expected Return

The anticipated return on an investment, reflecting the probabilities of various outcomes.

Covariances

A measure indicating the extent to which two variables change together; if the variables tend to show similar behavior, the covariance is positive.