At a trade meeting, country a and country b, which are trade partners, agree to remove trade barriers to stimulate economic growth. they sign agreement stating that tariffs on all goods will be removed. some groups in country b protest the agreement because they think it will lead to excessive in some industries, which will threaten companies and jobs.

The sticky-price theory asserts that the output prices of some goods and services adjust slowly to changes in the price level. suppose firms announce the prices for their products in advance, based on an expected price level of 100 for the coming year. many of the firms sell their goods through catalogs and face high costs of reprinting if they change prices. the actual price level turns out to be 110. faced with high menu costs, the firms that rely on catalog sales choose not to adjust their prices. sales from catalogs will

The following costs were incurred in may: direct materials $ 44,800 direct labor $ 29,000 manufacturing overhead $ 29,300 selling expenses $ 26,800 administrative expenses $ 37,100 conversion costs during the month totaled:

When a market is in equilibrium, the buyers are those with the willingness to pay and the sellers are those with the costs.