A significant advantage to being a member of a trade bloc is
A) higher tariff collections from member countries.
B) reduced or eliminated tariffs among member countries.
C) reduced tariff rates only for the largest member countries.
D) None of the above; there is no economic advantage to a trade bloc.
B
You might also like to view...
Joe likes peanut butter and jelly sandwiches for lunch. We can conclude that for Joe the cross elasticity of demand for peanut butter with respect to jelly is
A) positive because jelly and peanut butter are substitutes. B) positive because jelly and peanut butter are complements. C) negative because jelly and peanut butter are substitutes. D) negative because jelly and peanut butter are complements.
Suppose a multi-product monopolist sells two complementary goods, A and B. Annual market demand for good A is QdA = 600 - 25PA - 12PB. Each time a consumer buys A, his demand for B is QdB = 4 - 0.4PB. The marginal cost of good A is a constant $4, and the marginal cost of good B is a constant $0.50. Suppose the price of good B is $5. If the monopolist ignores the effect of additional sales of A on the sales of good B, how many units of good A will it produce?
A. 665 B. 440 C. 332.5 D. 220
The supply curve of books (which are produced using paper made from trees) will shift to the left in response to
a. a decline in college tuition. b. an increase in home building. c. an increase in the supply of lumberjacks. d. an end to government regulations that limit timber harvesting in national forests.
Suppose the economy was initially in a long-run equilibrium. Then the world economy expands so that foreign income rises. U.S. aggregate demand ... and eventually the money wage rate ...
What will be an ideal response?