If a USFirm Opens a Production Facility in Canada,the Profits from This

question 32

Multiple Choice

If a U.S.firm opens a production facility in Canada,the profits from this production facility received by the U.S.owners of the firm in exchange for the factors of production they supply will be included in the

• A) gross domestic product of the United States.
• B) gross national product of Canada.
• C) gross national product of the United States.
• D) imports from Canada and exports to the United States.

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Definitions:

Prices

The amount of money or goods asked or given in exchange for goods or services.

Herfindahl-Hirschman Index

A measure used to determine the level of competition within an industry, calculated by summing the squares of the market shares of all firms in the industry.

Strategic Situations

Scenarios or contexts where the outcomes for participants depend significantly on the actions and decisions of all involved parties, often analyzed in game theory.

Herfindahl-Hirschman Index

A measure used to calculate market concentration, indicating the level of competition within an industry by summing the squares of the market shares of all firms within the industry.