The Heckscher-Ohlin theory explains comparative advantage enjoyed by countries in the production of certain goods in terms of underlying differences in consumer tastes and preferences.
Answer the following statement true (T) or false (F)
False
You might also like to view...
The price elasticity of demand for eggs is 0.27. Thus, 0.27 is the:
A. percentage change in the quantity demanded of eggs when the price of eggs increases by one percent. B. size of the shift in the demand for eggs when the price of eggs changes by one percent. C. size of the percentage change in the quantity supplied of eggs when the demand for eggs changes due to a price change. D. percentage change in the price of eggs when the quantity demanded of eggs increases by one percent.
Economists believe mergers can sometimes achieve greater efficiency than two companies that do not merge.
Answer the following statement true (T) or false (F)
Use the following graph, which shows the supply and demand for British pounds, to answer the next question.
D1 and S1 represent the initial demand and supply curves. If there is a large increase in the number of American tourists visiting Britain because of a major event (like the Olympics or the World Cup), what should the British government do if it wants to fix the exchange rate at its initial level?
A. Shift D1 to D3 B. Shift S1 to S2 C. Shift S1 to S3 D. Shift D1 to D2
One reason that professional baseball players earn higher incomes than college professors is that:
A. the training costs to enter the baseball profession are low. B. there no barriers to entry in the baseball profession. C. few people have the skill to play professional baseball. D. being a college professor requires less education.