What criterion could you use to determine whether a small country named “Isoland” is a net importer of oil?
The world price is below the domestic price in Isoland
The world price is above the domestic price in Isoland
The world price equals the domestic price in Isoland
THe world price fluctuates above and below the domestic price in Isoland
For a net importer country, a tax on imports causes:
more imports and gains in total surplus
more imports and loss of total surplus
less imports and loss of total surplus
less imports and gains in total surplus
What explains that marginal cost increases as production of a product increases?
inreasing cost law
decreasing average cost property
diminishing marginal product property
law of increasing marginals
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