One reason why purchasing power parity may not work perfectly is that some goods, because of their nature, are difficult to trade
a. True
b. False
A
You might also like to view...
Why do U.S. government loans generally pay a low interest rate?
What will be an ideal response?
The total revenue from selling trucks is equal to
a. the price of a truck times the quantity sold b. the change in quantity sold divided by the change in price c. average cost times quantity produced d. the price of a truck times the quantity produced e. the price of a truck times the price elasticity of demand
The market system fails to provide the efficient output of public goods because: a. people place no value on public goods
b. private firms cannot restrict the benefits from those goods to consumers who are willing to pay for them. c. public enterprises can produce those goods at lower cost than private firms. d. public goods create widespread spillover costs.
An increase in the actual price level does not shift the short-run aggregate supply curve, but an expected increase in the price level shifts the short-run aggregate supply curve to the left
a. True b. False Indicate whether the statement is true or false