Suppose a country's net exports equal $1.9 billion. Which of the following will happen if the volume of imports increases by $2 billion without any change in the volume of exports?
A) The country's net exports will be equal to $0.1 billion.
B) The country's net exports will become negative.
C) The country's net exports will be equal to $3.9 billion.
D) The country's net exports will be zero.
B
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Mobile source standards in the U.S. are solely benefit-based, which means they are set
a. to achieve allocative efficiency b. to maximize total social benefits c. at the point where MSB is maximized d. at the abatement level where MSC is zero e. none of the above
If a price floor on coffee is set above the market-clearing price, then
A) the quantity of coffee demanded will decrease. B) the quantity of coffee supplied will increase. C) the quantity demanded for coffee will increase. D) Both A and B will occur E) none of the above will occur.
Barriers to free trade impair efficiency in the international allocation of resources.
Indicate whether the statement is true or false.
Political instability is an obstacle to development in:
A. both market and socialist economies. B. neither market nor socialist economies. C. market economies. D. socialist economies.