If countries have similar factors of production and similar productivities, most of their trade is likely to be intraindustry

Suppose that you are the central bank president in a developing country which is predominantly agricultural. During planting season, c the proportion of demand deposits held as cash doubles, but you wish to keep the money supply constant

You may decide to A) reduce e and/or buy securities and/or lower the rediscount rate. B) increase e and/or buy securities and/or lower the rediscount rate. C) reduce e and/or sell securities and/or raise the rediscount rate. D) increase e and/or sell securities and/or raise the rediscount rate.

In order to continue its operations, in the long-run a firm must

a. Charge a price that is equal to its AVC b. Charge a price that is equal to its AFC c. Charge a price that is equal to its AVC + AFC d. Need more information to determine the price