When Tesla, a U.S. company, purchases Italian-made Pirelli tires for its automobiles, the purchase is
A) both a U.S. and an Italian import.
B) a U.S. import and an Italian export.
C) a U.S. export and an Italian import.
D) neither an export nor an import for either country.
Answer: B
You might also like to view...
Adaptive expectations are "__________" according to the New Classical economists because they __________ information it is possible to use in making a forecast
A) rational; include all B) rational; exclude some C) irrational; include all D) irrational; exclude some
The price of a new electronic toy increases from $16 to $24 and the quantity demanded decreases from 1,050 to 950 per month as a result. Based on this information, the price elasticity of demand (in absolute terms) is estimated to be equal to:
a. 5.00 b. 4.00 c. 0.75 d. 0.25
A firm will never operate at a loss
Indicate whether the statement is true or false
Which of the following is an exogenous variable in the Three-Sector-Model?
a. Real risk-free interest rate b. Required reserve ratio c. Quantity of real credit per time period d. Quantity of currency per time period e. All of the above are exogenous.