If the supply curve for orange juice is estimated to be Q = 40 + 2p, then
A) supply is price elastic at all prices.
B) supply is price inelastic at all prices.
C) supply is elastic only at prices below 20.
D) No general statements about price elasticity of supply can be made.
B
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In the list of assets below, which is the most liquid?
A) $500 worth of Ford Motors common stock B) $500 worth of Ford Motors bonds C) a $500 traveler's check D) a one-ounce gold coin
Most foreign investment is today is directed towards high-income countries because
A) there are tax breaks and subsidies available. B) markets are larger, so transportation costs are minimized by producing near the market. C) high-income countries are politically stable. D) there are no economies of scale in low-income countries.
To “cure” their balance of payments deficits without altering exchange rates, Southeast Asian countries in 1997 were forced to create
A. more inflation. B. recessions. C. faster economic growth. D. money at an accelerated rate.
Refer to Table 2-11. South Korea has a comparative advantage in the production of
A) digital cameras. B) wheat. C) both products. D) neither product.