Refer to the above table. If opportunity costs are constant and both countries produce only the goods for which they have comparative advantages and then trade, hourly world output would equal
A) 4 units of product A and 4 units of product B.
B) 8 units of product A and 4 units of product B.
C) 8 units of product A and 8 units of product B.
D) 12 units of product A and 8 units of product B.
B
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Refer to the table below. If the profit for each unit of paper product is $2 and the profit for each unit of lumber is $5, the profit-maximizing quantity of lumber and paper products is located between which to points on Big Oaks' production possibilities frontier?
Big Oaks can produce either paper products or lumber with each tree that they harvest. Because Big Oaks can adjust the amount of paper products and lumber they produce from the harvested trees, paper products and lumber are produced in variable proportions. The above table summarizes Big Oaks production possibilities from each harvested tree.
B and C
B) A and B
C) C and D
D) D and E
In the last few decades, tariffs in developing countries have:
A. fallen by more than 20 percent. B. risen by more than 20 percent. C. fallen to 20 percent of their GDP. D. risen to 20 percent of their GDP.
The Budget Enforcement Act was an example of a debt ceiling.
Answer the following statement true (T) or false (F)
Suppose the market supply for good X is given by QXS = -100 + 5PX. If the equilibrium price of X is $100 per unit then producers' revenue from X is
A. $20,000. B. $40,000. C. $100. D. cannot be determined from the information contained in the question.