Jimmy's Bakery has an absolute advantage in producing bagels. Which of the following is true of the bakery?
a. It produces bagels at a lower opportunity cost than other bakeries
b. It uses more inputs in the production of bagels than other bakeries.
c. It is able to produce bagels at a lower production cost than other bakeries.
d. It experiences diseconomies of scale in the production of bagels.
c
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Japan imposes a tariff on imported rice. In Japan, surplus will be redistributed from
A) consumers to producers and government. B) consumers to producers. C) consumers to government. D) government to producers.
What conditions should be met to practice price discrimination in a market?
Which of the following is not one of the methods of calculating the cost of common stock?
a. capital asset pricing model b. bond yield plus risk premium model c. dividend growth model d. capital liabilities assessment model e. none of these
Individuals will usually make choices to minimize the value of some objective.
a. true b. false