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Cash-rich firms often make questionable acquisitions, rather than pay out the cash to shareholders. This: A.is because diversification eliminates inefficiencies. B.is an example of the

Cash-rich firms often make questionable acquisitions, rather than pay out the cash to shareholders. This: A.is because diversification eliminates inefficiencies. B.is an example of the bootstrap game. C.is an example of an agency problem. D.is because diversification is too costly for individuals.

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