It is possible to have an absolute advantage in producing a good or service without having a comparative advantage
Indicate whether the statement is true or false
TRUE
You might also like to view...
An increase in market demand for a product in a competitive market will raise profits for firms currently in the market
a. true b. false
Starting from long-run equilibrium, a large tax increase will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. recessionary; lower; potential B. expansionary; lower; potential C. expansionary; higher; potential D. recessionary; lower; lower
The subjective evaluation method that requires the evaluator to rank the employees on a number of different performance factors using a five point scale is called a(n):
A. 360-degree performance system. B. internal benchmarking system. C. standard rating scale system. D. goal-based rating system.
Figure 9.9 depicts a market for electricity. S1 is the supply curve without the external costs. S2 is the supply curve with the $T tax. Assume electricity production incurs external costs. If the government imposes a pollution tax of $T per mega watt:
A. the supply curve will shift to the right. B. the supply curve will shift to the left. C. demand curve will shift to the right. D. demand curve will shift to the left.