How can a domestic producer determine whether or not it has a comparative advantage in the production of a good or service?
A) It cannot.
B) by comparing the price it receives to the prices of other domestic producers
C) by comparing the price it receives to the world price
D) by comparing the quantity it produces to the quantity produced in the world
E) by comparing the total domestic quantity to the total world quantity
C
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The music streaming industry, where a firm's profitability depends on its interactions with other firms, is an example of
A) perfect competition. B) monopolistic competition. C) monopoly. D) oligopoly.
Suppose that Polaroid instant cameras had a guarantee that would be valid only if the camera was used with Polaroid film. This would then be an example of:
A. a tie-in sale. B. monopoly pricing. C. price discrimination. D. predatory pricing.
Both the International Monetary Fund and the World Bank were established
A. in the 1970s. B. at the end of World War II. C. at the end of World War I. D. at the end of Korean War.
Leisure is
A) wasteful to society. B) an inferior good. C) a complementary good to labor. D) a normal good.