Taiwan exports tools to the United States. Consumers in Taiwan will probably pay a(n) ________ price for tools with free trade than they would with a closed economy.
A. somewhat lower
B. higher
C. lower
D. more fair
Answer: B
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Explain why it is highly unlikely that the world's oil reserves will be depleted within the next 40 years
What will be an ideal response?
The government finances the budget deficit by
a. borrowing from the public. b. borrowing solely from the Federal Reserve Bank. c. printing currency in the amount of the budget deficit. d. requiring that budget surpluses occur every other year to pay off the deficits.
Two-part pricing offers a mechanism whereby the firm can
A) charge two different prices to distinct groups of customers. B) collect two times as much from consumers as a single-price monopoly can. C) capture some or all of the consumer surplus. D) reduce some of its fixed costs.
In the above figure, a price ceiling of $4 would
A) result in a shortage in the long run. B) result in a surplus in the long run. C) have no effect. D) result in a surplus in the short run but have no effect in the long run.