In the text, U.S. and Mexico trade corn and oil and both end up with more corn and oil. Economists refer to this increased global output as
a. terms of trade
b. advantage of trade
c. absolute advantage
d. comparative advantage
e. gains from trade
E
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Which of the following is NOT a requirement for a firm to be able to price discriminate?
A) monopoly power B) groups of customers with different willingness to pay for the good C) economies of scale D) ability to keep the members of different customer groups separate E) ability to prevent resales of the product by customers
Promotional pricing would best be categorized as a form of:
A) first-degree price discrimination. B) second-degree price discrimination. C) third-degree price discrimination. D) no price discrimination.
What does the slope of the production possibilities curve represent? Explain
What will be an ideal response?
Medicare subsidizes or provides health care to the poor and medicaid provides health care to the elderly
a. True b. False Indicate whether the statement is true or false