The correct answer is Canada, the United States, and Mexico
Explanation:
The North American Free Trade Agreement or NAFTA was an economic alliance between three important countries: Canada, the United States, and Mexico (main countries in North America). Additionally, the purpose of this alliance was to facilitate trade between these countries, and in this way promote the development of the economy in these territories. In terms of history, all countries signed for the agreement in 1992, but the alliance was official only in 1993 because of the opposition of some citizens and groups. Thus, in 1992 Canada, the United States, and Mexico signed this agreement.
Answer:
A. The payment to factors whose supply is perfectly inelastic.
Explanation:
This means that this factor of production need to be purchase regardless of the price change, otherwise the business operation couldn't continue.
One example of a pure economic rent is the cost of latex for rubber glove manufacturer. Since latex is the main ingredients for the product, that company still have to buy it even if the price of the latex is increasing (inelastic) . Otherwise, the company need to shut down its operation.
