If a country has a lower opportunity cost than its potential trading partner, the country should decide to be self-sufficient

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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The real rate of interest equals 5% and the expected rate of inflation equals 2%. The nominal rate of interest equals

A) 2%. B) 3%. C) 5%. D) 7%.

Economics

During 1980-2009, the per-capita incomes of less developed countries (LDCs)

What will be an ideal response?

Economics

Fundamental forecasters assume that if current exchange rates reflect all facts in the market, then under similar circumstances, future rates will follow the same patterns.

a. true b. false

Economics

If the labor force grows at a faster rate than the number employed, the unemployment rate will fall.

Indicate whether the statement is true or false.

Economics