the ratio of change in consumption to a change in the income that caused the consumption change
What will be an ideal response?
marginal propensity to consume
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Which trade strategy have developing countries used to restrict imports of manufactured goods so that the domestic market is preserved for home producers?
A) international commodity agreement B) export promotion C) multilateral contract D) import substitution E) export subsidies
First-degree and second-degree price discrimination are similar in each of the following ways except which one?
A) They both convert consumer surplus into additional economic profit. B) In both practices, firms earn greater economic profit than if they charged a single price for every unit. C) In both practices, consumers pay higher prices for the first units that they buy. D) They both yield the greatest possible profits to the firm.
One of the causes of World War I was _________
a. the deteriorating standards of living in Europe. b. the assassination in Serbia of Austrian Archduke Ferdinand. c. Europe had experienced several wars in recent decades that spilled over into World War I. d. the European working class was increasingly fractured and nationalistic.
Which of the following conditions define the short-run for any industry?
a. Firms do not incur a fixed cost. b. Firms incur both fixed as well as variable costs. c. Firms can easily enter and leave the market. d. Firms can enter but cannot leave the market.