Alpha can produce either 18 tons of oranges or 9 tons of apples in a year, while Omega can produce either 16 tons of oranges or 4 tons of apples. Which of the following exchange rates between apples and oranges would allow both Alpha and Omega to gain by specialization and exchange?

Which of the following does not involve exports and imports?

A. Current account. B. Capital account. C. Balance of trade. D. Net exports.

Refer to the above figure. As more and more firms are able to and actually do enter the industry, the demand curve of each firm and its marginal revenue curve

A. will become upward sloping. B. will shift inward until the demand curve is tangent to the average total cost curve. C. will become vertical. D. None of these will occur.