Answer:
The correct answer is B. may change as time passes and circumstances
Explanation:
The concept of comparative advantage is one of the basic foundations of international trade. It assumes as decisive the relative costs of production and not the absolute ones. In other words, countries produce goods that have a lower relative cost compared to the rest of the world.
Answer: Decrease, Increase, Price flexibility.
Explanation: According to classical economics, a decrease in aggregate demand causes the price level to DECREASE in the long run. On the other hand, an increase in aggregate demand causes the price level to INCREASE in the long run. These changes occur because of PRICE FLEXIBILITY.
In a flexible market the forces of demand and supply determines the prices of commodities in the market.
As the demand Falls the prices also fall as the demand rises the prices of commodities also rises.
Answer:
Labor
Explanation:
Factor of production: There are several resources that are required in the process of production or running any business to meet the required goal of the business.
There are four factor of production:
- Land
- Labor
- Capital.
- Entrepreneurship.
In the given case, Matt Newell is an Entrepreneur as he has started a new helicopter tour company, for which he acquired land and capital from the loan, however, he has not to manage labor for his business. Labor is essential to run any business.
Answer:
C. $3,454 million
Explanation:
Calculation to determine what the Projected cost of goods sold for 2018 will be:
2018 Projected cost of goods sold = [(8,180*1.03)*(3,272/8,180)+1%)]
2018 Projected cost of goods sold = (8,425 * (0.40+1%)
2018 Projected cost of goods sold= 3,454 million
Therefore Projected cost of goods sold for 2018 will be: $3,454 million
When the price at which the quantity of a product willing to be purchased by customers and the quantity of product willing to be made by a producer are equal, this is known as the equilibrium price. Equilibrium price is the price set by a market in which the amount of products that are supplied is equal to the amount of products that are demanded.
