When Mik has an absolute advantage in the production of two goods over Tommy, Mik
A) is less productive than Tommy.
B) is better off if he does not engage in specialization and trade with Tommy.
C) is more productive in producing both goods than Tommy.
D) always has a comparative advantage over Tommy in the production of both goods.
E) cannot gain from trade with Tommy.
C
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The above figure shows the relationship between the price of a slice of pizza and how many slices of pizza Ricardo buys in a week. Between points A and B, the slope of the line equals
A) -5. B) -4. C) -3. D) -1. E) -2
The cost incurred from the production of an additional unit of a product
A) is called a loss. B) is called opportunity cost. C) must be zero for a firm to be efficient. D) is a marginal cost to the firm.
Using the table above answer the following question. Assume that the marginal cost of production for this firm is $0
If this firm is a monopolist and can only charge a unique price in whole dollar amounts which price will he charge to maximize profits? How much revenue would the firm collect? How would this answer change if this firm were to practice perfect price discrimination?
Discuss the effects of the reunification of eastern and western Germany in 1990 on both Germany and its neighboring European countries
What will be an ideal response?