EBK ECONOMICS: PRINCIPLES AND POLICY
13th Edition
ISBN: 9780100605930
Author: Blinder
Publisher: YUZU
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Chapter 31, Problem 2TY
To determine
Explain the leverage magnifies return.
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please explain why the statements are false
Under what economic conditions should a company avoid leverage?
A) when the cost of borrowing goes up, and customers are NOT willing to pay higher prices
B) during good economic conditions
C) during poor economic conditions
D) leverage should never be avoided no matter what the economic conditions
The dominant element in our financial oligarchy, says Brandeis, is (are) the
insurance companies
steel trust
O investment bankers
O U.S. government
railroads
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EBK ECONOMICS: PRINCIPLES AND POLICY
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