Which of the following statements reflect sound economic reasoning?
A) If domestic production of a good will employ lots of people, the good should be produced domestically.
B) Higher tariffs will increase the total volume of international trade.
C) Foreign competition will reduce the wealth of Americans.
D) If it is more economical to acquire a good through trade than by self-production, it makes sense to trade for it.
D) If it is more economical to acquire a good through trade than by self-production, it makes sense to trade for it.
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Consider the above figure. At income level Yd = $30, the APC is equal to
A) 0.05. B) 1.05. C) 1.25. D) 1.67.
Short run average expenditure curves are tangent at their lowest point to the long run average cost curve.
Answer the following statement true (T) or false (F)
If the British pound appreciates, U.S. television stations need fewer dollars to buy episodes of a Britcom from the British Broadcasting Company
a. True b. False
For years, Intel was able to charge a higher price for microchips because:
a. it had a higher quality product than its rivals. b. it spent less on advertising than its rivals. c. consumers knew that Intel had the best employees. d. Intel relied more on foreign labor. e. of its successful product differentiation.