The law of one price applied to the international marketplace is called:

a. real exchange rates.
b. nominal exchange rates.
c. arbitrage.
d. purchasing-power parity.

Ans: d. purchasing-power parity.

Economics

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Refer to Table 1-4. What is Eva's marginal cost if she decides to stay open for two hours instead of one hour?

A) $12 B) $24 C) $36 D) $71

Economics

Suppose there is a firm with a fixed cost of $10 and the firm produces furniture that requires wood and labor as inputs. When does the firm's average total cost curve intersect the average variable cost curve?

a. when the price of furniture falls below $10 b. at the minimum of the average total cost curve c. at the point of greatest labor efficiency d. when the marginal cost curve intersects the average variable cost curve e. never

Economics