The limits of the terms of trade are determined by the comparative cost conditions in each country before trade:
Less commerce occurs as a result of partial specialization and rising costs than when costs are constant. The cost advantage one country has over another serves as the foundation for commerce. This explains why some countries make things that they also import since they are able to do so for less money than their trading partners.
What is comparative cost ?
Comparative costs refers to comparing, using a comparative costs approach, the costs of signing into a privatized contract to the expenses of the state maintaining to provide the services that are the subject of the contract.
Therefore,
Less commerce occurs as a result of partial specialization and rising costs than when costs are constant. The cost advantage one country has over another serves as the foundation for commerce. This explains why some countries make things that they also import since they are able to do so for less money than their trading partners.
To learn more about comparative cost from the given link:
brainly.com/question/8141905
Answer:
<em>B. Yes, although it may be breached in most states if there is a court order to do so.</em>
Explanation:
<em>Duty of confidentiality is a provision that has been put in place in most states, to enable clients open up freely if they need help. This allows professionals to take whatever actions necessary to carry out full service delivery when helping the client. </em>Some of these details include health status, a client-lawyer case story, a social media's access to users' personal details, etc. The law prohibits professionals from disclosing information made available to them by the client to a third party. This duty is held by many professional bodies like the medical body, legal body, among others. <em>This duty can be broken by law in situations where the client sues the professional, or when there is a legal court order to do so</em>.
Answer:
$16.50
Explanation:
Note: The complete question is attached as picture below
We know that there is a total of 90 units of oil and 30 units is consumed in period 0.
So, in period 1, the consumption amount will be = 90-30=60 units.
So, Q1 = 192 - 8P
For 60 units, the price will be 60 = 192 - 8P
8P = 192 - 60
8P = 132
P = 132 / 8
P = 16.5
So, the price in period 1 is $16.50
Answer:
1. The government could not finance it's deficit budget.
2. The Dollar was stable and Through dollar adoption, interest rate would be lowered and investments would increase.
Explanation:
The colon was changed to dollars because El Salvador wanted a boost in it's economy through the US Dollar.
Printing money to finance deficit would no longer be done by the government and inflation would be brought under control. Because of the adoption El Salvador has no control over it's monetary policy.
the government would still be able to run deficits by printing money
with dollars, shocks caused by demand in the economy will be offset more effectively by using monetary policy.
By printing U.S. dollars, the government would still be able to finance deficits.
The overall contribution margin ratio can be computed as follows:
Overall CM ratio = Total contribution margin/Total sales
= $141,600/177000= 80%
