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Trade is the international exchange of goods and services. An economy can engage in trade because of the variation of production efficiency between countries, it is able to export goods it produces at a rela...

The difference between an inferior good and a normal good is how they react to a change in the consumers income.If there was a rise in the consumers income, they would demand more for a normal good, as per t...

The key benefit for UK consumers will come in the form of lower prices and hence they will receive a welfare gain through the increase in consumer surplus. International trade increases the size of the marke...

Decrease in IR --> decrease in savings by households due to high opportunity cost of saving --> increase in consumption (C)--> AD (right shift)--> economic growth & potentially inflation (dep...

This is when due to a single firm expanding in its size they benefit from lower average costs and thus allow them to to more efficiently reach their targets such as profit maximisation. This answer is two ma...