In the Presence of External Economies of Scale, Trade

question 37

Multiple Choice

In the presence of external economies of scale, trade

• A) will unambiguously improve welfare in both countries.
• B) will unambiguously worsen welfare in the exporting country and improve welfare in the importing country.
• C) may or may not improve welfare in both countries.
• D) will unambiguously improve welfare in the exporting country and worsen welfare in the importing country.
• E) will unambiguously worsen welfare in both countries.

Discuss challenges associated with the knowing-doing gap in implementing innovation.

Understand the basics of psychological research methods and their applications.

Recognize the importance of representative samples in research.

Identify and explain different types of correlations and their implications.

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Definitions:

Unincorporated Enterprises

Businesses that are not legally separated from their owners, meaning the owner is personally liable for the debts of the business.

Corporate Executives

High-ranking officials within a corporation, responsible for making strategic decisions.

Total Income

The sum of all earnings or revenue received by an individual or an entity, including wages, profits, rents, and other forms of earnings.

Capitalists

Individuals or entities that own capital goods or investments, and use these to produce goods and services for profit.