Which of the following makes it more difficult for an incumbent to successfully engage in limit pricing?

If a nation has a comparative disadvantage in the production of some commodity, a. it can gain from international trade in that commodity only if it has an absolute advantage in that commodity. b. it can still gain from international trade in that commodity, by getting it at a lower opportunity cost than if they produced it domestically. c. it cannot gain from international trade in the

commodity. d. it cannot gain from international trade unless it has an absolute advantage in every other commodity.

The income effect of an increase in the interest rate will result in an increase in consumption when a. young and an increase in savings when young. b. old and an increase in savings when young

c. young and a decrease in savings when young. d. old and an increase in savings when old.