Assume, for Colombia, that the domestic price of coffee without international trade is higher than the world price of coffee. This suggests that
a. other countries have a comparative advantage over Colombia in producing coffee.
b. Colombia has an absolute advantage over other countries in producing coffee.
c. Colombia will export coffee if international trade is allowed.
d. Colombian coffee buyers will become worse off if international trade is allowed.
a
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When the federal government owns land resources, such as parks, that are funded by tax dollars,
a. park mangers receive full information about visitor desires simply by asking visitors. b. public park managers have the same incentives as private park managers, where visitors pay at least the actual costs of use. c. park managers devote much time and effort to satisfying congressional desires instead of visitor desires. d. park managers will be well-informed of visitor demands regardless of the funding mechanism.
Market failure can be caused by
a. too much competition. b. externalities. c. low consumer demand. d. scarcity.
Which of the following statements is consistent with a decrease in supply?
A. There has been an advance in technology. B. Consumers' incomes have increased. C. The market price has decreased. D. Prices of raw material inputs have increased.
How does social regulation differ from economic regulation?
What will be an ideal response?