At the beginning of the year, Tom's Tubes had a capital stock of 5 tube inflating machines. During the year, Tom scrapped 2 old machines and purchased 3 new machines. Tom's gross investment for the year totaled

General equilibrium occurs in autarky at the point where the community indifference curve intersects the production possibilities frontier

Indicate whether the statement is true or false

Firms in industrial countries find a larger market for their goods in other industrial countries than in developing countries because:

a. the consumption patterns in the industrial countries are highly heterogeneous. b. the trade policies of the industrial nations are more favorable than the developing countries. c. the industrial countries tend to have a higher population than the developing countries. d. the industrial countries are capital intensive countries. e. the consumption patterns in the industrial countries are more or less uniform.