Which of the Following Would Have the Greatest Positive Impact

question 27

Multiple Choice

Which of the following would have the greatest positive impact on a country's domestic economy?

• A)An increase in spending on imports from other countries.
• B)An increase in spending by foreigners on the country's exports.
• C)A decrease in the confidence of foreign investors in the country's economy.
• D)A decrease in the incomes of consumers in foreign countries.

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Definitions:

Price of Labor

The compensation paid to employees for their work or services, typically measured in terms of wages or salary.

Average Fixed Costs

The total fixed costs divided by the number of units produced, representing the fixed cost per unit of output.

Marginal Cost

The cost of producing one additional unit of a product or service.

Total Cost

The sum of all costs incurred by a business in producing goods or services, including both fixed and variable costs.