Explain how the presence of a superstar basketball player can increase the marginal revenue product of the other players on the team
The superstar is a complement, raising the other players' marginal products by diverting the opponents' defense toward him and away from the others. The others are more likely to perform better against a divided defense.
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The short run is a time period that is
A) equal to a day. B) too short to change the amount of labor hired. C) too short to change the size of the firm's plant. D) long enough to change the size of the firm's plant. E) too short to change the amount of any resource the firm employs.
Refer to Table 2-9. Which of the following statements is true?
A) Serena has a comparative advantage in making both products. B) Haley has a comparative advantage in making both products. C) Haley has a comparative advantage in making bracelets and Serena in making necklaces. D) Haley has a comparative advantage in making necklaces and Serena in making bracelets.
Countries that have a trade surplus have a:
A. positive net capital outflow. B. positive net capital inflow. C. negative net capital outflow. D. positive foreign direct investment.
An tax that is applied to imported products which are not produced domestically is a(n):
free trade policy tariff Import quota Nontariff barrier