Two countries will choose to specialize and trade only if:
A. the terms of trade fall between their opportunity costs for producing the goods on their own.
B. the opportunity costs are the same for the two nations.
C. the opportunity costs are astronomically high for producing the goods on their own.
D. one country possesses the absolute advantage in both goods, but the comparative advantage in only one good.
A. the terms of trade fall between their opportunity costs for producing the goods on their own.
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Demand curves slope downward to the right
a. True b. False Indicate whether the statement is true or false
With the resources it has, an economy can produce at any point on or outside the production possibilities frontier, but it cannot produce at points inside the frontier
a. True b. False Indicate whether the statement is true or false
What is marginal revenue?
What will be an ideal response?
Refer to the information provided in Figure 13.11 below to answer the question(s) that follow.
Figure 13.11Refer to Figure 13.11. Suppose a monopolist faces the demand and costs in the figure and is able to perfectly price discriminate. The monopolist will ________ $16,000.
A. earn a profit of B. have total costs equal to C. have total revenues equal to D. lose