In some markets for used goods:
A. the seller has more information than the buyer about the quality of the good.
B. the buyer has more information than the seller about the quality of the good.
C. low-quality used goods will be underpriced.
D. the quality of used goods sold in the market will typically rise over time.
Answer: A
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In the open-economy macroeconomic model, at the equilibrium real interest rate, the amount that people (including government) want to save exactly balances desired domestic investment
a. True b. False Indicate whether the statement is true or false
Which of the following exemplifies a cause of increased international trade?
a. The Canadian government imposed new tariffs on imported maple syrup, whiskey, and ketchup. b. Modern shipping containers eliminate the need to unload and reload goods at each point of transfer. c. Small Business Saturday encourages holiday shoppers to patronize local brick-and-mortar stores. d. Green economic initiatives stress the benefits of pursuing environmental and social sustainability.
When a second firm enters a market, the original firm's profits decline because:
A. the original firm's price decreases. B. the original firm's ATC increases. C. the original firm's quantity decreases. D. All of these are correct.
The fastest growing nations today
A) are not saving but instead are investing. B) have the government directing all their research and development. C) have non-democratic political systems. D) have the fastest growing exports and imports. E) have erected many trade barriers to protect domestic firms.