A lawn mower costs $500 in the US and 8188 Mexican Pesos in Mexico. The current exchange rate is 1USD=12.97MXN. At this rate,
a. The good costs more in the US
b. The good costs more in Mexico
c. The good costs the same across the two countries
d. None of the above
b
Economics
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How does adverse selection in financial markets affect the method by which firms raise funds?
What will be an ideal response?
Economics
Suppose the government imposes a tax that reduces the quantity sold in the market after the tax to Q2. The price that sellers receive is
A. P0. B. P2. C. P5. D. P8.
Economics