Scenario 9-2 • for a Small Country Called Boxland,the Equation of the of the Domestic

question 202

Multiple Choice

Scenario 9-2
• For a small country called Boxland,the equation of the domestic demand curve for
cardboard is ,
where represents the domestic quantity of cardboard demanded,in tons,and represents the price of a ton of cardboard.
• For Boxland,the equation of the domestic supply curve for cardboard is ,
where represents the domestic quantity of cardboard supplied,in tons,and again
represents the price of a ton of cardboard.
-Refer to Scenario 9-2.Suppose the world price of cardboard is $60 and international trade is allowed.Then Boxland's consumers demand

• A)110 tons of cardboard and Boxland's producers supply 120 tons of cardboard.
• B)96 tons of cardboard and Boxland's producers supply 96 tons of cardboard.
• C)96 tons of cardboard and Boxland's producers supply 115 tons of cardboard.
• D)80 tons of cardboard and Boxland's producers supply 120 tons of cardboard.

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Definitions:

Positioning

The strategy of placing a brand or product in the market to occupy a distinct place in the minds of target customers relative to competing products.

Target Market

A specific group of potential customers at whom a company aims its products and services, identified by demographic, geographic, and psychographic characteristics.

Licensing

A legal process in which one firm pays to use or distribute another firm’s resources, including products, trademarks, patents, intellectual property, or other proprietary knowledge.

International Markets

Refers to the various markets operating in different countries around the globe, where goods, services, and currencies are exchanged across national boundaries.