Assume that by devoting all of its resources to the product of X, nation Apha can produce 40 units of x By devoting al of its resources to Y, Alpha can produce 60Y comparable figures for nation Beta are 60xand 40Y. We can conclude that: Select one: O a. the terms of trade will be 3x equals 1Y. O b. Alpha should specialize in Y and Beta in X. O c. Alpha should specialize in x and Beta in Y. o d there is no basis for mutually beneficial specialization and trade.

Which of the following is a disadvantage of equity alliances when compared to non-equity alliances? 1. they are reflective of weaker ties between firms.2. they do not permit the exchange of explicit knowledge.3. they are more likely to bring about lack of trust and commitment.4. they require significantly higher levels of investment.

Recently, verizon wireless ran a pricing trial in order to estimate the elasticity of demand for its services. the manager selected three states that were representative of its entire service area and increased prices by 5 percent to customers in those areas. one week later, the number of customers enrolled in verizon's cellular plans declined 4 percent in those states, while enrollments in states where prices were not increased remained flat. the manager used this information to estimate the own-price elasticity of demand and, based on her findings, immediately increased prices in all market areas by 5 percent in an attempt to boost the company's 2016 annual revenues. one year later, the manager was perplexed because verizon's 2016 annual revenues were 10 percent lower than those in 2015"the price increase apparently led to a reduction in the company's revenues. did the manager make an error? yes - the one-week measures show demand is inelastic, so a price increase will decrease revenues. yes - the one-week measures show demand is elastic, so a price increase will reduce revenues. yes - cell phone elasticity is likely much larger in the long-run than the short-run. no - the cell phone market must have changed between 2011 and 2012 for this price increase to lower revenues.

What are some examples of types of investments on the part of manufactures that result in growth? how does this improve a nation's standard of living?