The law of diminishing marginal utility applies to goods with negative income elasticities; it does not always apply for goods with positive income elasticities
a. True
b. False
B
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The World Trade Organization (WTO) is an international organization dedicated to erecting trade barriers between nations
Indicate whether the statement is true or false
With a pure gold standard
A) a nation may not pursue an independent monetary policy. B) an inflow of gold will reduce the money supply of a country. C) there will be a tendency for a too rapid increase in the volume of world trade. D) a balance of payments deficit will lead to an increase in the domestic price level.
Which of the following statistics confirm the rise in de-integration in the U.S. post 1970s?
a. The average number of industrial sectors a firm operated in increased substantially in 1997. b. Employment in the business services industry that supplied contract employees grew by almost five times as much as non-farm employment. c. Between 1977 and 1999, imports of the U.S. firms from foreign affiliates as a percentage of total imports increased substantially. d. Between 1977 and 1999, imports of the U.S. firms from unrelated suppliers as a percentage of total imports declined.
All firms and all industries face identical long-run average cost curves
Indicate whether the statement is true or false