In the above table, the efficient level of output can be achieved through a per unit
A) subsidy of $20.
B) tax of $20.
C) subsidy of $60.
D) tax of $60.
A
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The effect of antidumping laws is to
A) put a floor on foreign prices. B) lower consumer surplus in the importing country. C) encourage domestic firms to allege dumping even when it might not be true. D) All of the above.
Economic theory in general, and trade theory in particular are replete with equivalencies
For example, it is argued that for any specific tariff one can find an equivalent ad valorem tariff; and that for any quota one can calculate a tariff equivalent. Discuss conditions or situations under which a specific and an ad valorem tariff are not equivalent. Discuss conditions or situations when a tariff and a quota are not equivalent.
The demand for most agricultural products tend to be price inelastic
a. True b. False
Which of the following methods could be used to calculate GDP?
a. the sum of all spending on final goods and services b. the sum of all factor payments plus depreciation and indirect business taxes c. the sum of all values added at each stage of production d. All of the above could be used.