Many manufacturers attempt to build fairly close relationships with the firms that supply their packaging and boxes. Why?
What will be an ideal response?
Many manufacturers attempt to build fairly close relationships with suppliers in order to minimize the transaction costs in the supply chain. Reducing transaction costs increases the size of the gains from trade that can be split between the manufacturer and packaging suppliers.
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Under perfect competition, a firm's: a. demand curve and average revnenue curve are identical, but the marginal revenue curve is different. b. demand curve is different, but the average revenue curve and the marginal revenue curve are identical. c. demand curve, average revenue curve and marginal revenue curve are identical
d. none of these is true.
The United States can reduce its trade deficit by:
A. keeping the dollar fixed. B. reducing the value of the dollar. C. either weakening or strengthening the dollar. D. strengthening the dollar.
Which of the following ways of distributing the laptops would be more efficient? (Check all that apply.)
A. Using a first-come, first-served rule. B. Auctioning off the laptops to the highest bidders. C. Using a random lottery to decide who gets the laptops. D. Using flexible prices, so those who value the laptop more would pay more for it.
What type of policies did Adam Smith attack in his book, An Inquiry into the Nature and Causes of the Wealth of Nations?
What will be an ideal response?