Which of the following is FALSE about intraindustry trade?
A) Intraindustry trade creates gains from trade.
B) Intraindustry trade is due to comparative advantage.
C) Intraindustry trade may involve heightened competition and lower prices for consumers.
D) Intraindustry trade increases consumer choice.
B
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A) 3/8 of a bolt of cotton B) 5/8 of a bolt of cotton C) 2 2/3 bolts of cotton D) 320 bolts of cotton
A successful strategy of price discrimination requires that a firm be a price taker
Indicate whether the statement is true or false
In general, the fed funds rate
A) moves in the direction suggested by the Taylor rule. B) moves in the opposite direction as suggested by the Taylor rule. C) is uncorrelated with the Taylor rule prediction. D) None of the above.
Diversification is determined by adding value
Indicate whether the statement is true or false