If two countries begin trade and both produce a product subject to internal economies of scale, then the country with the ________ rate of production will ________ production until it controls ________ of the market
A) higher; increase; 100%
B) higher; increase; 50%
C) lower; increase; 100%
D) lower; increase; 50%
E) higher; decrease; 0%
A
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For a given interest rate, r, which of the following expressions is smallest?
a. 1 + r. b. (1 + r/2)2. c. (1 + r/12)12 d. (1 + r/365)365.
A bank's reserve ratio is 5 percent and the bank has $2,280 in reserve. Its deposits amount to
a. $114. b. $2,166. c. $2,400. d. $45,600.
A sole proprietorship is the type of business that has ________ government rules and regulations affecting it
A) no B) the fewest C) the most D) only federal
Which of the following is not a necessary characteristic of a purely competitive industry?
A. The industry- or market demand is highly elastic B. Firms can enter or leave the industry C. There are so many firms that none can influence market price D. Consumers see no difference between the product of one firm and that of another