A flat wage profile refers to

Which of the following can result in a market producing an inefficient quantity of a good? i. competition ii. an external cost or an external benefit iii. a tax

A) i only B) iii only C) ii only D) ii and iii E) i and iii

Investment banks are vulnerable because

A) the maturity of their liabilities is less than the maturity of their assets. B) the maturity of their assets is less than the maturity of their liabilities. C) they tend to be underleveraged. D) they tend to primarily hold short-term assets.