Full pass-through means that a 10°/o rise in the overseas price of an imported good leads to:
a. a 100% rise in the domestic price.
b. a greater-than 10% rise in the domestic price.
c. a 10% rise in the domestic price.
d. a less-than 10% rise in the domestic price.
Ans: c. a 10% rise in the domestic price.
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Suppose the price elasticity of demand for a product is 0.5 . If a supplier wants to increase revenue, what change should it make to price, if any?
Refer to the accompanying table. According to the table, Pat has the absolute advantage in: Pizzas Made Per HourPizzas Delivered Per HourCorey126Pat1015
A. making pizza. B. delivering pizza. C. neither making nor delivering pizza. D. making and delivering pizza.
Total U.S. consumption possibilities will increase if the United States:
A. imports a product for which the exporting country has the comparative advantage. B. never imports a product that can be produced by American workers. C. has consumers who join together and adopt a "Buy American" policy. D. agrees to subsidize imports of products, such as computers, that represent the comparative advantage of domestic U.S. manufacturing firms.
The labor force is defined as
A. everyone 16 years of age or older. B. the employed plus the unemployed. C. the employed minus the unemployed. D. the civilian non-institutional population over the age of 16.