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Artemon [7]
2 years ago
8

What are five foundations of economics? increasing trade between two countries makes everyone in those countries better off.

Business
1 answer:
geniusboy [140]2 years ago
5 0

The five foundations of trade are:

  • incentives
  • tradeoffs
  • opportunity cost
  • marginal thinking,
  • principle that trade creates value.

<h3>Why do we engage in trade?</h3>

There are five main foundations of trade that are the reason why people engage in trade. One of them is the profit incentive to make money from trade. Another is the tradeoffs that people are forced to make to survive.

Opportunity cost also leads to trade because people give up one thing for another and so may have to sell the thing they gave up to receive the thing they want. There is also the principle which posits that when we trade, value is created. Finally, there is marginal thinking which is thinking along the lines of the benefit of one additional unit.

Find out more on the foundations of trade at brainly.com/question/2710473

#SPJ1

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An investor purchases a stock for $38 and a put for $.50 with a strike price of $35. The investor sells a call for $.50 with a s
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Answer: $2

Explanation:

From the question, we are informed that an investor purchases a stock for $38 and a put for $.50 with a strike price of $35 and that the investor sells a call for $.50 with a strike price of $40.

The maximum profit for this position will be the purchase price of the stock deducted from the strike price of call option. This will be:

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7 0
3 years ago
Consider the Northern California territory of Nova generates a sales revenue of $320,000 with four salespeople. The territory ac
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Answer: e)5% and $80,000

Explanation:

$320,000 was generated by the salespeople in this territory.

This territory comprises 10% of a $64 million market.

Territory comprises of = 10% * 64,000,000 = $6,400,000

Their market share is therefore;

= \frac{320,000}{6,400,000} * 100%

= 5%

Four people made sales of $320,000.

Their productivity = \frac{320,000}{4}

= $80,000

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3 years ago
The Human Development Index (HDI)) includes _____, but GDP per capita does not. Both measurements can be used to measure the sta
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HDI includes life expectancy, education and per capita income indicator, which is a measurement that is used to rank countries, therefore suggesting that when the lifespan of the country is high the country's score of HDI is also high and thus the education level is high and the GDP per capita is also high as well. 
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Answer:

The statement is true

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Classify each possible change listed according to whether it will make small farms more efficient or less efficient based on the information in the Washington Post article Small vs. Large: Which Size Farm Is Better for the Planet:

Plant more disease-resistant crops, reduce the number of different crops planted, avoid planting genetically modified crops, rely more on organic rather than synthetic methods of farming,

Answer and Explanation:

Plant more disease-resistant crops is classified under more efficient and Less costly. The writer believes disease resistant crops increase efficiency as there is reduced occurrence of death of crops and consequent increased losses and costs

Reduce the number of different crops planted is classified under more efficient and less costly. The writer emphasizes specialization in farming whereby for example planting rice or corn should be done alone and not mixed with other crops as this would be less efficient and costly.

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