Suppose that you are considering investing in an asset for which there is a reasonably good secondary market. Specifically, your company is Delta Airlines, and the asset is a Boeing PROBLEM SETS Visit us at www.mhhe.com/bma Chapter 11 Investment, Strategy, and Economic Rents 285 757—a widely used airplane. How does the presence of a secondary market simplify your problem in principle? Do you think these simplifications could be realized in practice?

Explain.

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