The idea that similar foreign and domestic goods, or baskets of goods, should have the same price when priced in terms of the same currency is called

A market is perfectly competitive even if firms have the ability to set their own price as long as the price difference reflects differences in the product

Indicate whether the statement is true or false

If Camila's income rises by 20 percent, and, as a result, she purchases 40 percent more dresses, her income elasticity for dresses is

a. 0.5. b. 1.0. c. 2.0. d. Not enough information is given to answer this question.