With only two goods, x and y, if x and y are gross substitutes, a rise in px must necessarily:
a. increase spending in x.
b. reduce spending in x.
c. increase spending in y.
d. reduce spending in y.
c
Economics
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Opportunity cost is the difference between the nominal and real cost of some action
Indicate whether the statement is true or false
Economics
The ability of an individual, firm, or country to produce more of a certain good than other competing producers, given the same amount of resources, is referred to as:
A) marginal advantage. B) comparative disadvantage. C) absolute advantage. D) perfect advantage.
Economics