Which of the following is not included in a nation's balance of payments?

a. International interest and dividend earnings.
b. International gifts.
c. International loans.
d. All of the above are included in the balance of payments.

.D

Economics

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Refer to the table below. If the profit for each unit of paper product is $2 and the profit for each unit of lumber is $5, what is Big Oaks' marginal cost of producing between points B and C on their production possibilities frontier?


Big Oaks can produce either paper products or lumber with each tree that they harvest. Because Big Oaks can adjust the amount of paper products and lumber they produce from the harvested trees, paper products and lumber are produced in variable proportions. The above table summarizes Big Oaks production possibilities from each harvested tree.

A) $1.25
B) $6.25
C) $5.50
D) $2.50

Economics

Player 1 and Player 2 are playing a game in which Player 1 has the first move at A in the decision tree shown below. Once Player 1 has chosen either Up or Down, Player 2, who can see what Player 1 has chosen, must choose Up or Down at B or C. Both players know the payoffs at the end of each branch. What is the equilibrium outcome of this game?

A. Player 1 chooses Down and Player 2 chooses Up. B. Player 1 and Player 2 both choose Down. C. Player 1 chooses Up and Player 2 chooses Down. D. Player 1 and Player 2 both choose Up.

Economics