Answer:
The correct answer is: Each country can consume at a point outside their production possibilities frontier.
Explanation:
A country is said to be specializing in the production of a good if it can produce the good at a lower opportunity cost. When countries produce the good they specialize in producing and trade with other countries. All the countries will be able to consume more.
The countries will produce on its production possibilities frontier at the intercept of the good they specialize in and consume at a point outside their production possibility frontier.
Answer:
The correct answer is letter "C": shortage costs increase as total carrying costs increase.
Explanation:
A shortage takes place when the quantity demanded is higher than the supply at the current price. Typically, shortages occur because of an increase in demand, a decrease in supply or due to government policies. Shortage costs are those costs a firm is responsible for because the is no enough stock in its inventory. When shortage costs increase, the carrying costs do not necessarily increase.
The major difference between a low-cost provider strategy and a focused low-cost strategy is the size of the buyer group to which a company is appealing.
<h3>What is a strategy?</h3>
These are devices company employ to achieve their medium and long term objectives.
Hence, the major difference between a low-cost provider strategy and a focused low-cost strategy is the size of the buyer group to which a company is appealing.
Learn more about strategies here: brainly.com/question/24462624
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Answer:
the domestic price of sugar will increase to $125.
Explanation:
Since the world price of sugar is higher than the domestic price, domestic producers of sugar will export their products in order to earn a higher profit. That will eventually lead to an increase in the equilibrium price from $100 (former equilibrium price) to a higher price equal to the world price ($125).