To have significant foreign direct investment, a developing country ought to have a stable system of property rights
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following will increase the supply of a product?
A) an increase in the price of the product B) an increase in the demand for the product C) an increase in the number of sellers D) a decrease in the demand for the product E) an increase in the price of inputs
Market power guarantees profit
A) True, which is why firm's locate as far away from each other as possible. B) False, market power guarantees price greater than marginal cost. C) True, market power guarantees price greater than average cost. D) False, market power guarantees price equal to average cost.
What could happen to render the price ceiling set in the graph shown non-binding?
A. Demand could increase, and shift to the right.
B. Demand could decrease, and shift to the left.
C. Supply could decrease, and shift to the left.
D. None of these would cause the price ceiling to be non-binding.
The break-even point refers to
A. a point at which planned real consumption is greater than real disposable income. B. the point at which planned real consumption equals real disposable income. C. a zero amount of autonomous consumption. D. the maximum amount of dissaving a person can experience.