Which of the following statements is true of the gains to trade?
A) The gains to trade expand as trading partners become more alike.
B) The gains to trade shrink as trading partners become more alike.
C) The trading nations can enjoy gains to trade even when none of these countries has a comparative advantage in the production of any good.
D) The gains to trade are equal for all trading partners.
B
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The GDP of Country X in a particular year was $820,000. If the value added by U.S
workers in the production of various goods and services in Country X during that year was worth $150,000 and the value added by the workers of Country X in the production of various goods and services in other countries during that year was worth $130,000, the GNP of Country X during that year was ________. A) $1,140,000 B) $135,000 C) $8,235,000 D) $800,000
A price-discriminating firm charges the highest price to
A) the group with the least elastic demand. B) the group with demand that is unit elastic. C) the group with the largest demand. D) the group with the most elastic demand.
If a bank borrows $1,000 from the Fed and lends it out, the bank sets in motion a process that will result in an expansion of the money supply by a multiple of that $1,000
a. True b. False Indicate whether the statement is true or false
Because many immigrants are in low-paying jobs, they do not own homes but rent houses or apartments instead, and so they do not pay property taxes. What effect does this have on local tax revenue?
a. Very little, because landlords pay property taxes on rental units, which is reflected in the amount of rent charged b. A moderate impact, because most immigrant taxes go to the state in the form of income and sales tax c. A large impact, because immigrants use local services such as schools but do not pay for them d. A small impact, because most communities have few immigrants, and therefore the taxes they pay are negligible