Outsourcing allows a company to take advantage of the ________ of other countries, and in doing so it can produce its products at a lower cost.

A. comparative advantages
B. diminishing returns
C. trade imbalances
D. market failures


Answer: A

Economics

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Explain why the EMS countries decided to fix their exchange rates against the German DM

What will be an ideal response?

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An increase in the marginal tax on labor income, increases the supply of labor.

a. true b. false

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What would happen in a free market system when production of a good generates negative externalities?

A) There is a shortage of the good. B) There is a surplus of the good. C) The equilibrium quantity of the good is less than the efficient amount. D) The equilibrium quantity of the good is more than the efficient amount.

Economics