MCQs of Economics – Alternative Theories Of The Firm

The traditional profit-maximising theory of the firm has been criticised by some economists because:

A firm may be unable to maximise profits because it:

Public limited companies may not maximise their profits because:

Williamson suggests that managers might NOT try to achieve:

The divorce of ownership and control tends to occur in:

The divorce of owner ship and control causes a problem usually referred to by economists as:

If firm’s satisfice this means that:

A sale maximising firm will produce where:

Sales maximisation is likely to take place in markets that are:

Growth maximisation is the same as:

The merger of fibre producer and a clothing firm would be _____ merger

The merger of two clothing firms would be a ____ merger

The merger of a clothing firm and a software producer would be a _____ merger

Identify below those who are not stakeholders in a company.

Fear to take-overs will lead firms to maximise:

Which of the following is NOT a common reason for a merger?

Behavioural theories of the firm concentrate on the _____ interests of _____

When firm build in Organisational slack they do this in order to:

Galbraith’s idea that firms are controlled by a technostructure supports ______ theories

Firms that engage in satisficing behaviour are likely to be: