When a tax is placed on the buyers of tennis racquets, the size of the tennis racquet market
a. and the price paid by buyers both decrease.
b. decreases, but the price paid by buyers increases.
c. increases, but the price paid by buyers decreases.
d. and the price paid by buyers both increase.
b
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Write an essay on the role of the WTO in today's international economy
What will be an ideal response?
When considering setting the transfer price at the market price of a product similar to the intermediate good that is already available on the market
a. It is appropriate to ignore that the market price includes a margin above marginal cost b. It is OK if the product on the market includes costly features your downstream division does not use c. Consider whether the product on the market is inexpensive because its quality is lower than you use d. if it is similar enough, it is justification for you producing it in-house