When two U.S. firms announce a merger, and at least one of them meets the legal level of minimum sales, they must notify the:
a. Federal Trade Commission.
b. Consumer Financial Protection Bureau.
c. Better Business Bureau.
d. Department of Commerce.
a. Federal Trade Commission.
Because a merger combines two firms into one, it can reduce the extent of competition among firms. Therefore, when two U.S. firms announce a merger or acquisition where at least one of the firms is above a minimum level of sales, or certain other conditions are met, they are required under law to notify the U.S. Federal Trade Commission (FTC).
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All of the following are consequences of an economy operating above its potential level except:
A. high rates of inflation. B. stable prices. C. high interest rates. D. low unemployment.
Assume that Janet is risk-averse. Which of the following bets is she more likely to accept, depending on the degree of risk aversion?
A. win $20 one-fourth of the times, win $10 one-fourth of the times, and lose $20 one-fourth of the times B. win $20 one-fourth of the times, win $10 one-half of the times, and lose $20 one-fourth of the times C. win $40 one-fourth of the times, break even one-half of the times, and lose $40 one-fourth of the times D. win $40 one-fourth of the times, win $10 one-half of the times, and lose $40 one-fourth of the times