The United States has developed a comparative advantage in digital computers, airliners, and many prescription drugs. The source of its comparative advantage in these products is
A) a strong central government.
B) abundant supplies of natural resources.
C) a favorable climate.
D) technology.
D
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What is the name of the agreement related to intellectual property rights?
What will be an ideal response?
Which of the following is part of the synthesis view of fiscal policy?
a. Automatic stabilizers offset some of the fluctuations in aggregate demand without any government action. b. Fiscal policy is much less potent than the early Keynesian view implied. c. The effectiveness of discretionary fiscal policy as a stabilization tool is highly questionable given the difficulties in proper timing. d. All of the above are correct. e. None of the above is correct.
Which of the following is not a possible explanation as to why wage inequality increased markedly over the last 40 years in the United States?
A. There was an increase in the supply of low-skill workers, particularly through immigration. B. Recent technological changes have been complementary to skilled labor while substituting for unskilled labor. C. Competition from international economies has increased demand for highly productive workers. D. Institutional changes in the United States such as a steady decline in union coverage and a falling real minimum wage have led to changes in the wage distribution. E. Federal legislation allowed employers to legally engage in more racial discrimination.
A market for pollution rights can be expected to:
A. Eliminate all pollution B. Produce a shortage of pollution C. Encourage potential polluters to increase emissions D. Provide potential polluters with a monetary incentive to reduce emissions