The Diagram Below Shows the Demand and Supply Curves for Refrigerators

question 99

Multiple Choice

The diagram below shows the demand and supply curves for refrigerators in Canada.
FIGURE 34- 1
-According to the principle of "national treatment" in the North American Free Trade Agreement (NAFTA) ,member countries

• A)must submit any new laws being considered to a cross- border judicial panel before the laws are enacted.
• B)have complete autonomy over their own laws and the way in which they are applied to any firm,domestic or foreign,operating on their soil.
• C)can establish specific subsidies to favour their own national firms over international firms,as long as it applies only to domestic operations.
• D)can establish new laws as they wish,as long as these laws apply equally to domestic and foreign- owned firms.
• E)cannot establish new laws which harm the domestic environment.

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Definitions:

Federal Law

Laws passed by the national legislature of a country, applicable throughout the country.

Dishonored Check

A check that a bank refuses to pay, usually because the account holder does not have enough funds.

Provisional Credit

Temporary credit issued by a bank to an account holder, often while disputes or errors are being resolved.

Dishonor

In finance, the refusal or inability of a drawee of a negotiable instrument to pay the amount due upon presentment.