Micro Exam 2

using the internet portal of WTO provided in class, tell the applied tariff to cereals HD code 100620 in the country israel in 2021

0%

a wine exporter from california exports bottle of wine to thailand. the price of each bottles in origin is 10 USD, the transportation and insurance costs are 2.5 USD/bottle. the % tariff applied is 23%. how much is the applied ad valorem tariff per bottle?

3.53 USD

the paper "the defense of monopoly as a determinant of the process of transformation of state-owned infrastructure sectors in poland" states that

all are correct beside this answer "in short, it has not ben to the advantage of all three interest groups to secure the monopoly status for their enterprise"

how do we know what each country should produce and what goods should be traded

all of above (differences in tastes, economies of scale, differences in resource endowments)

solve according to nash equilibrium theory

company 1 IH & company 2 IH company 1 IM & company 2 NI

this chart relates to

economies of scale

law of comparative advantage says that each country should not specialize in producing the good with the lower opportunity cost

false

the term "terms of trade" is expressed by the ratio of exports and import prices. a devaluation of the local currency of an exporter will contribute to

increase exports

this chart refers to

production possibilities frontier

Isoquant shows all technologically efficient combinations of two resources, such as labor & capital, that produce a certain rate of output

true

a monopolist can sometimes increase economic profit by charging higher prices to customers who value the product more. the practice of charging difference prices to different customers when the price differences are not justified by differences in cost is called price discrimination

true

a most favored nation (MFN) clause requires a country providing a trade concession to one trade partner to extend the same treatment to all

true

ad valorem tariff is % of the price of imports at the point of entry

true

gilejko suggets that bureaucracy, acting in its own interest, strengthens the short-term benefits of the government

true

if firms are acting as price takers in factor markets, the isocost curve is a straight line

true

patents and license's are legal barriers

true

specific tariff is a fixed fee amount, for example a tariff of $5 per barrel of oil

true

using the example of the company de beers ... we can say that "the monopolist's price equals the average revenue per diamond"

true

using the research portal presented in class and hosted by michigan state university. answer the following question: the global aeorspace and defense industry is controlled by

us with 77.9% of market share