An increase in government spending lowers interest rates and increases the rate of investment in new capital

An example of a perfectly competitive firm is

A) an oat farmer in the United States. B) the local cable TV company. C) a U.S. automobile producer. D) a big city newspaper.

Developing countries often justify imposition of tariffs because:

a. it creates a burden on government budget. b. it is easy to collect direct taxes from people in the developing countries. c. a large number of people in the developing countries earn a taxable income. d. developing countries find income taxes difficult to levy and collect. e. the volume of imports of these countries is considerably low.