1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Marina86 [1]
3 years ago
11

Suppose that Greece and Switzerland both produce oil and shoes. Greece's opportunity cost of producing a pair of shoes is 4 barr

en of oil while Switzerland's opportunity cost of producing a pair of shoes is 10 barrels of oil.
By comparing the opportunity cost of producing shoes in the two countries, you can tell that Greece has a comparative advantage in the production of shoes and Switzerland has a comparative advantage in the production of oil.
Suppose that Greece and Switzerland consider trading shoes and oil with each other. Greece can gain from specialization and trade as long as it receives more than 4 barrels of oil for each pair of shoes it exports to Switzerland. Similarly, Switzerland can gain from trade as long as it receives more than 1 pair of shoes for each barrel of oil it exports to Greece.

Which of the following prices of trade (that is, the price of shoes in terms of oil) would allow both Switzerland and Greece to gain from trade? Check all that apply.

A. 1 barrel of oil per pair of shoes
B. 2 barrels of oil per pair of shoes
C. 8 barrels of oil per pair of shoes
D. 18 barrels of oil per pair of shoes
Business
1 answer:
Iteru [2.4K]3 years ago
8 0

Answer:8 barrels of oils per pair of shoe

Explanation:Greece and swizerland will need an average price by which they can both gain from trade.To ascertain the average price is by adding the 4 barrels of oil which Greece can forfeit and the 10 barrels of oil which Switzerland could also forfeit if it were into producing shoes.10+ 4 = 14/2 which almost 8 barrels to be given in exchange in other ensure a fair trade between both trading partners.

You might be interested in
If someone give gift to his wife of 255000 how much is taxable
padilas [110]
I do believe that gifts to a spouse are exempt from any gift tax. So $0 is taxable.
8 0
3 years ago
Read 2 more answers
Melanie has a balance of $1700 on a credit card with an apr of 24.2%, compounded monthly. about how much will she save in intere
slamgirl [31]
She will save about $267.27 ($2160.24 - $1892.97) in interest over the course of a year if she transfers her balance to a credit card with an apr of 10.8%, compounded monthly. This problem can be solved using the compounding interest formula which stated as A = P*(1+i)^n. A is the amount affected by the compounding interest, i is the interest rate, and n is the period of time. You must find the amount using the 24.2% and 10.8% compounding interest and find the difference between them.
4 0
3 years ago
Read 2 more answers
Assume the demand curve is more elastic than the supply curve for the product: chewing tobacco. If the government wants to tax c
Over [174]

Answer:

The producers will bear more of the tax than the consumer because the supply curve is more inelastic than the demand curve.

Explanation:

The options to this question wasn't provided. Here are the options:

The consumers will bear more of the tax than the producer because the supply curve is more inelastic than the demand curve.

The producers will bear the entirety of the tax because the supply curve is more inelastic than the demand curve.

The producers will bear more of the tax than the consumer because the supply curve is more inelastic than the demand curve.

The consumers will bear the entirety of the tax because producers set the price.

The producers will bear the entirety of the tax because the government imposed the tax directly on them.

Demand is elastic if a small change in price has a greater effect on the quantity demanded.

Supply is elastic if a small change in price has a greater effect on the quantity supplied.

The more elastic demand or supply is the more sensitive quantity demanded or supplied to changes in price.

The burden of tax refers to who pays the tax.

If demand is more elastic that supply it means that demand is more price sensitive to changes in price that supply.

This means that if a tax is imposed which increases the price of the good, quantity demand would change more than quantity supplied.

Therefore, the burden of tax is borne by the party with the less elasticity.

I hope my answer helps you

4 0
3 years ago
. Joey purchased an n-year par-value 2,000 bond that had a coupon rate of 9% convertible quarterly. Todd purchased a par-value b
kaheart [24]

Answer:

what is the formula

Explanation:

8 0
3 years ago
Quality that measures usefulness vs. price paid is which definition of quality? A. Conformance to specifications B. Fitness for
Fantom [35]

Answer:

C. Value for price paid

Explanation:

The quality of goods are measured with the usefullness of the goods to the consumer and how much he is willing is pay for the product is etermined by the utility of goods to the consumer. Higher amount is paid for the goods, which has higher utility to the consumer and it also define quality to the consumer. Price and utility of product remain the main determinant for the quality.

Value of price paid is determined by utility or usefulness of the product for each dollar paid to buy it.

8 0
3 years ago
Other questions:
  • A 2000 11% ten-year bond has semiannual coupons and is sold to yield 5.2% covertible semiannually. the discount on the bond is $
    5·1 answer
  • 1.The percentage of the labor force that belongs to a union is known as the
    5·1 answer
  • Market segmentation involves aggregating prospective buyers into groups that __________ and will respond similarly to a marketin
    14·1 answer
  • The officer responsible for managing the firm's cash flows is the
    11·1 answer
  • You have been pricing an MP3 player in several stores. Three stores have the identical price of $500. Each store charges 24 perc
    6·1 answer
  • Assume a firm has earnings before depreciation and taxes of $620,000 and no depreciation. It is in a 40 percent tax bracket.
    11·1 answer
  • Regional Economic Integration Threats (textbook) In a way, price differentials in the same economic integration would decline in
    5·1 answer
  • Relevant Range and Fixed and Variable Costs Vogel Inc. manufactures memory chips for electronic toys within a relevant range of
    5·1 answer
  • As a leader of the audit team, what do you tell your employees to do first?
    11·1 answer
  • What are the advantages of trimming of fruits ?write​
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!