A reduction in taxes on domestic financial investments usually leads to capital outflows.

The firm's variable cost include costs that

a. change as the price of the good changes b. change as the firm's output changes c. can never be changed d. can only be changed in the long run e. change with economies of scale and remain unchanged with diseconomies of scale

Diversification involves:

A. investing all your money in a variety of financial assets, with varying amounts of risk. B. investing all your money in one company. C. investing all your money in the same type of financial assets, with the same amount of risk. D. None of these statements is true.