Suppose the World Price of Widgets Is $5 Each

question 10

Multiple Choice

Suppose the world price of widgets is $5 each. If a widget-importing country imposed a $2 per widget tariff, what price would that country's consumers pay for widgets?

• A) $3
• B) $7
• C) $5
• D) $10
• E) A price that is greater than $5 and less than $7.

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Definitions:

General Partnership

A business structure where two or more individuals agree to share all assets, profits, financial and legal liabilities of a venture.

Joint Venture

A form of business organization identical to a partnership, except that it is engaged in a single project, not carrying on a business.

Co-owners

Individuals or entities that hold ownership rights in a property or business together.

RUPA

The Revised Uniform Partnership Act, which governs the operation of partnerships in the United States.