Author Question: The intertemporal budget constraint is defined as: A) DP + DF/(1 + r) = QP + QF/(1 + r) B) V = ... (Read 31 times)

penguins · **on:** Jun 30, 2018

The intertemporal budget constraint is defined as:

A) DP + DF/(1 + r) = QP + QF/(1 + r)
B) V = QP + QF/(1 + r)
C) V = DP + DF/(1 + r)
D) DF + DP/(1 + r) = QF + QP/(1 + r)
E) DP + DF(1 + r) = QP + QF(1 + r)

Question 2

Economic restructuring that takes place as a result of opening to trade with other countries

A) contradicts the idea of gains from trade.
B) causes some trading activity to be zero sum.
C) worsens the nation's allocation of resources.
D) improves the nation's allocation of resources.
E) is a highly unlikely event.