What are the main reasons comparative advantages occur?
a. climate, import quotas, technology
b. education, technology, import quotas
c. education, factor endowments, capital
d. climate, factor endowments, technology
d. climate, factor endowments, technology
You might also like to view...
Refer to the table above. What is the average variable cost of producing 86 units of the good?
A) $30 B) $0.35 C) $2.1 D) $10
Answer the following statements true (T) or false (F)
1) Foreign firms and foreign citizens are exempt from U.S. antitrust laws. 2) If an illegal per se act has been proven to have occurred, there is no defense possible. 3) If a firm engaged in a price-fixing agreement first reports the activity to the Department of Justice, the company still faces substantial fees because price-fixing is illegal per se. 4) Bid rigging is analogous to price fixing. 5) Resale price maintenance can prevent showrooming.
A sole proprietorship is typically a relatively small business because
a. its operations must stay within state borders b. it is operated out of the proprietor's home c. there are no employees, only working family members d. there are no bank loans available for expansion e. expansion often requires a partner or conversion to another form of business organization
The theory of comparative advantage suggests that nations should produce a good if they
a. have the lowest opportunity cost. b. have the lowest wages. c. have the most resources. d. can produce more of the good than any other nation.