Starting from a situation where country A which exports good S and imports good T has a larger trade triangle than country B, explain how the process of reciprocal demand leads to international trade equilibrium
What will be an ideal response?
If A has a larger trade triangle than B it wants to trade more than B. Consider the S market. A's desired exports exceed B's desired imports. The price of S must fall. As this occurs, the two trade triangles move toward congruency.
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A business owned by two or more joint owners, or partners, who share the responsibilities and the profits of the firm and are individually liable for all the debts is a(n)
A) corporation. B) entrepreneur. C) proprietorship. D) partnership.
Which type of bond offers a relatively high interest rate to compensate for its relatively high chance of default?
a. Junk bond b. Treasury bond c. Municipal bond d. Savings bond
Historically, realists have viewed competition over resources as
a. a major cause of war. b. a method for solving collective action problems. c. an exploitation of developing countries. d. a way for poor nations to raise their standard of living.
Unlike the person or persons who formally form a sole proprietorship or partnership, a corporation has
(a) a perpetual life. (b) unlimited liability for the debts accumulated by the firm. (c) the right to vote. (d) concentrated ownership.