If Big Box Store has customers with identical demands, if it practices two-part pricing, the profit-maximizing user fee is ________ the marginal cost of Big Box Store's product.

The average of the bilateral rate changes for a nation, weighted by the importance of the trading partner, is know as

A) the real exchange rate B) the nominal exchange rate C) the effective exchange rate D) the direct exchange rate

Compared with constant cost production, if production occurs under increasing cost conditions, it is MORE likely that countries will:

a. completely specialize. b. incompletely specialize. c. not engage in international trade. d. trade with one another.