As a result of pure free trade in a commodity the
a. price of the commodity must be the same in all countries.
b. total quantity imported will exceed the total quantity exported.
c. price of the commodity will be higher in the producing country.
d. price of the commodity will be lower in the producing country.
a
You might also like to view...
Low labor standards are usually associated with
A) nondemocratic governments. B) high-income countries. C) high-wage countries. D) low foreign investment.
A firm is operating such that the marginal product of labor is 48 and the marginal product of capital is 12. The firm is minimizing its costs only if
A. the rental rate is one fourth the wage. B. since capital is more productive than labor, the firm must be minimizing cost. C. the wage is one fourth the rental rate. D. Given this information the firm can't be minimizing cost under any circumstances.