The situation in which investors choose to put their funds in a safe asset during uncertain times is known as
A) hedging.
B) speculation.
C) flight to quality.
D) arbitrage.
C
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Farmer Seth has a perfectly flat long-run average total cost curve over the range of output from 10,000 bushels of wheat to 100,000 bushels of wheat. Hence, over this range of output, Farmer Seth definitely experiences
A) constant marginal returns. B) constant returns to scale. C) constant economies of scale. D) none of the above.
What was not a benefit of the development of a national market?
a. Increased production by reducing tragedy of the commons problems. b. Permitted greater division of labor. c. Enabled people and organizations to engage more in their comparative advantages. d. Led to lower costs because of increasing returns to scale could be taken advantage of in more industries.