True of small business administration financial programs

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1. When there are strong economies of scale in _____, small firms do not do as well as large firms.

a. manufacturing

b. transportation

c. construction

d. retailing

2. Which of the following is true of Small Business Administration (SBA) financial programs?

a. They lend to firms that are unable to get private financing.

b. They are major sources of small-business financing.

c. They require a representative on the board of directors of a company.

d. They prevent commercial lenders from lending money to small businesses.

3. In the context of job creation and layoffs, which of the following is true?

a. Large companies are the last to lay off workers during economic downswings.

b. Large firms hire at a faster rate than smaller firms.

c. Small firms eliminate jobs at a very low rate.

d. Small firms are the last to hire in times of economic recovery.

Reference no: EM131713638

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