The basic concept behind strategic trade policy is that free trade is the best policy to pursue, but some countries don't play by those rules. Therefore,
a. it makes no sense to engage in trade at all, and it makes sense to be self-sufficient.
b. it makes sense to restrict imports of items that are of military significance in order to maintain a strong defense posture.
c. it makes sense to threaten to protect markets unless other nations agree to open theirs.
d. it makes no sense to export items of strategic importance to other nations, because they should make them on their own.
c
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One of the assumptions for the plug-in solution to provide consistent estimators of?1and ?2is that the erroruis uncorrelated with all the independent variables. ?
Answer the following statement true (T) or false (F)
A demand curve for The Steel Porcupines' concert tickets would show the:
A. number of tickets the box office is willing to sell at various prices. B. number of people who need tickets. C. quality of people who want to buy these concert tickets. D. number of tickets that will be purchased at various prices.
All mutually beneficial trades have taken place. This implies that
A. economic efficiency prevails in the society. B. society is on the constant cost portion of its production possibilities curve. C. the production possibilities curve is bowed out. D. society is inside the production possibilities curve.
Which of the following statements is true?
A) A long-run competitive equilibrium can only be achieved in constant-cost industries. B) When an industry achieves a long-run competitive equilibrium, industry output will not change in the future. C) A long-run competitive equilibrium outcome is not economically efficient. D) When an industry reaches a long-run competitive equilibrium, the typical firm in the industry breaks even.