Exhibit 8-12 Marginal revenue and cost per unit curves
As shown in Exhibit 8-12, the firm will shut down in the short-run at a price below:

The opportunity cost of 1 wristwatch is 4 wall clocks in Japan and 2 wall clocks in Germany. If the nations split the difference between the willingness to pay and the willingness to accept, the terms of trade are 3 wristwatches per wall clock

Indicate whether the statement is true or false

Efficiency is best understood as a relationship between

A) ends and means. B) energy created and energy destroyed. C) energy output and energy input. D) pleasure and pain.