Which of the Following Firms Has a Better Chance of Accelerating

question 70

Multiple Choice

Which of the following firms has a better chance of accelerating the internationalization process?

• A) International regulatory bodies set export/import limits.
• B) The importing country can levy heavier import tariffs to override the VERs.
• C) The exporting country sets the limits on the quantity it will export.
• D) It is a mandatory tax imposed by a government on goods entering at its borders.
• E) It is an absolute restriction against the importation of certain goods.

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Definitions:

Marginal Cost

Marginal cost is the cost of producing one additional unit of a good or service.

Consumer Demand

The desire of purchasers, consumers, clients, or users to buy goods and services measured over time.

Competitive Industry

An industry characterized by many buyers and sellers, such that no single market participant has significant influence over prices.

Long-Run Equilibrium

A state in which all factors of production and costs are variable, and firms are making neither excess profit nor losses, typically reached over time.