Refer to the information provided in Figure 6.5 below to answer the question(s) that follow. Figure 6.5Refer to Figure 6.5. Molly's budget constraint is AD. If her income decreases, her new budget constraint is

Suppose country X can produce a personal computer at an opportunity cost of 1000 t-shirts. Assume that country X has a comparative advantage in the production of t-shirts

Would country X ever agree to terms of trade with country Y such that one personal computer would be exchanged for 1100 t-shirts?

When cost and demand are stable over time in an industry, repetition of Prisoners' Dilemma situations

A) can yield cooperative outcomes because firms can explicitly collude to set prices. B) can yield cooperative outcomes even when firms do not explicitly collude to set prices. C) cooperative or noncooperative outcomes may occur, but cooperation is harder than when the market is unstable. D) will tend to yield noncooperative outcomes. E) will always yield noncooperative outcomes.