Economic Models Take into Account the Effect of Trade on the Distribution

question 22

True/False

Economic models take into account the effect of trade on the distribution of income.

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Definitions:

Net Price

The price of a good or service after all discounts, rebates, and other cost reductions have been applied, not including additional charges such as shipping or taxes.

Complement Method

A mathematical technique used to simplify the process of subtraction by utilizing the "complement" of a number.

Cash Discount

A reduction in an invoice amount available to the buyer for paying all or part of the amount due within a stated period of time.

Invoice Date

The date stated on an invoice; the beginning of the discount period.