International Trade Based on External Scale Economies in Both Countries

question 42

Multiple Choice

International trade based on external scale economies in both countries is likely to be carried out by

• A) a large number of oligopolists in each country.
• B) a relatively large number of price competing firms.
• C) a relatively small number of price competing firms.
• D) a relatively small number of imperfect competitors.
• E) monopolists in each country.

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Definitions:

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The theory that suggests body weight is regulated at a predetermined, or preferred, level by a feedback control mechanism.

Hedonic Adaptation

The observed process of becoming accustomed to a new situation or stimulus, causing the emotional effects of that stimulus to diminish over time.

Fancy Dinner

An elaborate or formal evening meal, often involving multiple courses and sophisticated cuisine.

Mood

A temporary state of mind or feeling that influences an individual's emotional state.