The time and resources needed to search out, negotiate, and consummate trades are referred to as
a. trade deficits.
b. transaction costs.
c. tariffs.
d. marginal costs.
b. transaction costs.
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Which of the following accounted for over 85 % of our trade deficit in goods and services in 2009?
A. Imports from China. B. Imports from Japan. C. Imports of Oil. D. Imports of steel.
For a monopoly firm, the shape and position of the demand curve play a role in determining the (i) profit-maximizing price. (ii) shape and position of the marginal-cost curve. (iii) shape and position of the marginal-revenue curve
a. (i) and (ii) only b. (ii) and (iii) only c. (i) and (iii) only d. (i), (ii), and (iii)
When marginal revenue is positive for a linear (inverse) demand function, decreases in output will cause total revenues to:
A. decrease. B. remain unchanged. C. increase. D. There is not sufficient information to answer the question.
If labor costs are 60 percent of production costs, then a 15 percent increase in wage rates would increase production costs by:
A. 60 percent B. 45 percent C. 15 percent D. 9 percent