As long as ________ and ________ are low enough, foreign direct investment can be used to reduce total costs by locating different stages of overall production in different countries.

A. trade barriers; domestic demand
B. transport costs; trade barriers
C. domestic taxes; foreign demand
D. foreign demand; transport costs


Answer: B

Economics

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A. consumer surplus exceeds producer surplus by the greatest amount. B. the production technique minimizes cost. C. the production technique minimizes economic surplus. D. marginal benefit exceeds marginal cost by the greatest amount.

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In the above figure, if the interest rate is negatively related to household expenditures for any given level of household income, an increase in the interest rate will

A) shift the line vertically upward. B) shift the line vertically downward. C) make the line negatively sloped. D) cause no change in the line's position.

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Refer to the scenario above. Which of the following will happen if Mike decides to mow his lawn by himself?

A) GDP will remain unchanged. B) Per capita income will increase. C) GDP will decrease. D) GDP will increase.

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Most of the unemployment that occurred during the Great Depression was

A) frictional unemployment. B) structural unemployment. C) core unemployment. D) cyclical unemployment.

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