Ans: Spot markets
Explanation:
The spot market is a financial market where financial instruments or commodities are traded for immediate delivery. Hold-up is a hazard associated with relationship-specific exchange. Spot market results in hold-up.
Which of the following Institutions may result in hold-up? 11 Multiple Choice Vertical integration Piece rates...
Help Save Saved #1 is one way to avoid opportunism: Multiple Choice Vertical integration None of the options. Dedicated assets Long-term contracts in complex contracting environment Spot exchange < Prev 23 of 50 Next>
When IRP does not hold: Multiple Choice it may be the result of government-imposed capital controls. All of the options. arbitrageurs should bring exchange rates and interest rates back into line. the reason may be the imposition of cross-border arbitrage restrictions. the explanation may be due to transactions costs.
Which of the following is NOT a solution to the manager-worker principal-agent problem? Multiple Choice Sales sharing O Piece rates O Fixed hourly wages O Spot checks
1. The following question is about which factors control the choice of model for purchasing. Substantial spe- cialised invest- ments relative to contracting costs? No SPOT EXCHANGE YES Complex contracting environment rela- tive to costs of integration? NO YES CONTRACT VERTICAL INTEGRATION 1.1 What is meant by spot exchange? 1.2 What does it mean for a manufacturing firm to vertically integrate? 1.3 What is a benefit of alliances and joint ventures over mergers and acquisitions? 1.4 Referring to the diagram,...
Disinflation is the term for a period during which overall inflation rates are: Multiple Choice positive and falling. positive and increasing. zero. negative. If inflation was zero percent, nominal interest rates would be: Multiple Choice equal to real interest rate. larger than real interest. at the optimal rate. smaller than real interest. The net result of deflation is to: Multiple Choice reduce the level of aggregate supply in the economy. increase the level of aggregate demand in the economy. reduce...
Which of the following statements about strategy is most accurate? Multiple Choice a) Only start-up organizations must develop strategies to help them raise capital as well as focus and direct their efforts to accomplish their goals. b) Strategy is an organization's short-term course of action designed to deliver a specific customer experience while achieving its internal standards. c) An organization can be all things to all people because it has access to all the resources it needs to discover and...
Which of the following is not a result of following a well-designed budgeting process? Multiple Choice Improved decision-making processes. Improved performance evaluations. Improved coordination of business activities. Assurance of future profits. Improved communication of management's action plans.
Which of the following statements is true A Interest rates on bonds of different maturities tend to move together over time O B. Yield curves almost always slope downward. O c. when short-term interest rates are low. yield curves tend to be inverted. D. When short-term interest rates are high, yield curves tend to be upward sloping According to the segmented markets theory of the term structure of interest rates, if bondholders prefer short-term bonds to long-term bonds, the yield...
Multiple Choice Questions-Please select the correct answer for each of the following questions. (2pts a piece). If using a computer, you may highlight or bold the correct answer. 1. The first stage of DNA replication is: a. Initiation b. Elongation c. Termination 2. During which stage of interphase will replication take place: a. G1 b. G2 c. GO d. S
Which of the following is not a potential limitation of a spot market that might provide a reason for firms to enter into a long-term exchange relationship? O The spot market may not be competitive enough to produce an attractive price. O Suppliers in spot markets may have a short-term perspective. O A business incurs costs in attempting to find a reliable exchange partner. O None of these is correct O Suppliers in spot markets may be unwilling to invest...