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Hamilton has no excess capacity. If the company wishes to implement the general transfer-pricing rule, the opportunity cost would be equal to:
Demand Curves
A graphical representation that shows the relationship between the price of a good and the quantity demanded by consumers.
World Price
The worldwide market price of a good or service, affected by the balance of global demand and supply.
Nontariff Barrier
Measures other than tariffs that countries use to control the amount of trade across their borders, including quotas, embargoes, sanctions, and other restrictions.
Import
The act of bringing goods or services into a country from abroad for sale.
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