When Countries Trade with One Another in a Particular Industry,there

question 24

True/False

When countries trade with one another in a particular industry,there may be losses in jobs and plant closures in the country where the industry is not as competitive.

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Definitions:

Implicit Costs

Implicit costs refer to the opportunity costs of using resources that a company already owns, without any direct payment, for its own production purposes.

Explicit Costs

Direct, out-of-pocket payments for wages, rent, materials, and other inputs required for the production of goods or services.

Total Cost

The total amount of money spent on creating goods or services, encompassing both constant and fluctuating expenses.

Implicit Cost

Represents the opportunity costs of using resources owned by the firm for its own production processes, without direct payment.