“In a recent recession the losses sustained by the developing countries through a decline in raw-material prices by far outweighed any foreign aid given over several years.” Explain.
What will be an ideal response?
Essentially this is a statement of fact that points out how vulnerable the developing countries are and how dependent they are on the advanced countries as markets for their products. If there is a slump in the industrialized world, the decline of raw-material demand sends prices plummeting for their exports. That more than offsets the foreign aid given over several years.
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If a firm experiences constant returns to scale at all output levels, then its long-run average total cost curve would
a. slope downward b. be horizontal c. slope upward d. slope downward for low output levels and upward for high output levels e. slope upward for low output levels and downward for high output levels
Given the following data, what is the distance from the origin to the point where the total expenditures (TE) curve cuts the vertical axis? C = $400 + 0.75Yd I = $120 G = $270
A) $670 B) $790.75 C) $790 D) $400 E) ?$390
Recent studies show that recent immigrants compete for jobs with immigrants who came into the country earlier.
Answer the following statement true (T) or false (F)
When the efficient quantity of output is being produced and sold, the deadweight loss is maximized
Indicate whether the statement is true or false