Merck, an American pharmaceutical company, produces a vaccination that is used against chicken pox. The table shows the domestic demand for, and supply of, this medication, measured in thousands of doses per day
The world price of this medicine is $24 per dose. a. With no trade, what is the U.S. price and quantity of the vaccine? b. At the world price, how many doses are demanded in the United States? c. At the world price, how many doses are produced in the United States? d. At the world price, how many doses are exported?
a. With no trade, the U.S. price is $20 a dose and the quantity is 10,000 doses per day.
b. At the world price, 8,000 doses per day are demanded in the United States.
c. At the world price, 13,000 doses per day are produced in the United States.
d. At the world price, 5,000 doses per day are exported.
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A. either rise or fall depending on whether the supply or demand for dollars changes more. B. become fixed. C. rise. D. fall.
Productive efficiency refers to
A. setting TR = TC. B. maximizing profits by producing where MR = MC. C. cost minimization, where P = minimum ATC. D. production at a level where P = MC.
Dividends are
A) payments by a corporation to its shareholders. B) financial securities which represent ownership in a corporation. C) the interest rate paid on shares of stock. D) the yearly payments associated with bonds.
Under a fixed exchange rate system, to prevent the depreciation of the dollar as a result of a balance of payments deficit, the Fed will increase the demand for dollars by supplying a foreign currency from its reserve assets
Indicate whether the statement is true or false