For the infant-industry argument for tariffs to be appropriate, it is necessary that
A. the country has access to the most modern production techniques.
B. only industries that currently are operating efficiently will be protected.
C. the government can identify which industries will eventually be able to compete with more established foreign producers.
D. the industry be deemed essential by the government.
Answer: C
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Suppose y = Ak1/3, the capital-labor ratio is $30,000 per worker, the level of total factor productivity is 400, 50% of the population works, and there are 50 million workers. Real GDP per capita is
A) $4,930.85. B) $6,212.33. C) $7,765.41. D) $9,033.96.
As a general rule, when accountants calculate profit they account for explicit costs but usually ignore
a. certain outlays of money by the firm. b. implicit costs. c. operating costs. d. fixed costs.
a country's level of economic freedom is influenced by
What will be an ideal response?
Which of the following would result in a movement along the production possibilities curve?
A) a fall in the unemployment rate B) growth in the capital stock C) population growth D) a change in the composition of two goods that a society chooses to produce