The basis for trade is comparative advantage, not absolute advantage
Indicate whether the statement is true or false
TRUE
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Inc's stock is currently $50. The last dividend that they paid was $1. If dividends are expected to increase at a 10% annual rate, what is the firm's equity cost of capital?
What will be an ideal response?
Which one is a macroeconomic topic?
a. A business decides to buy new software. b. A person decides to return to college. c. The central bank lowers interest rates to stimulate the economy. d. The government issues new environmental regulations.
In a long-run perfectly competitive equilibrium
A) P = MR = MC > ATC. B) P = MR > MC = ATC. C) P = MR = MC = ATC. D) P > MR > MC = ATC.
To maximize welfare in a competitive market that has a negative externality in production, government should tax a pollution-generating good at a specific tax equal to the marginal cost of producing the good
Indicate whether the statement is true or false