Which of the following factors would be considered by a fundamental analyst when predicting a firm's stock price?
a. recent changes in the stock's price
b. the knowledge and skills of the firm's current management
c. the marketing strategies of the firm's competitors
d. a "head and shoulders" shape in a line graph of the firm's stock price
e. both b and c
E
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Suppose country X currently does not produce widgets. Instead, it imports widgets from country Z. Then country X establishes a preferential trading agreement with country Y. Following the formation of the PTA, it imports widgets from country Y. What has occurred?
a. There is trade diversion and a welfare loss for country X. b. There is trade creation and a welfare loss for country Y. c. There is trade diversion and a welfare gain for country X. d. There is trade creation and a welfare gain for country Y.
Production
A) is a process by which resources are produced. B) is a process by which resources are transferred into goods and services. C) only applies to manufacturing of goods. D) is carried on by corporations, but not by sole proprietorships.