If the terms of trade between any two countries lie somewhere between their respective opportunity costs, then the effects of trade will include
A. An expansion of the production possibilities for both countries.
B. Less interdependence between the economies of the two countries.
C. Consumption outside the production possibilities curve for both countries.
D. Less output for both countries.
Answer: C
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The price elasticity of demand for meat in general is inelastic while the price elasticity of demand for turkey or chicken is more elastic. Why?
A) Turkey and chicken are not red meat. Because they are not the same as other meats, they should have different elasticities. B) Turkey and chicken have many substitutes, such as fish or beef, while meat in general has fewer substitutes. C) Turkey and chicken are inferior goods. D) Turkey and chicken are normal goods.
Refer to Figure 3-2. An increase in price of inputs would be represented by a movement from
A) A to B. B) B to A. C) S1 to S2. D) S2 to S1.
What is the difference between the terms "marketing" and "advertising"?
What will be an ideal response?
One of the things that employers can do to lessen the moral hazard problem involving their employees is to pay them in advance for their work
a. True b. False Indicate whether the statement is true or false