Refer to the given data. On the basis of the production possibilities data shown:
Answer the question on the basis of the following production possibilities data for Landia and Scandia:
A. Landia has a comparative advantage in chips while Scandia has a comparative advantage
in fish.
B. Landia has a comparative advantage in fish while Scandia has a comparative advantage in
chips.
C. both Landia and Scandia have a comparative advantage in fish.
D. both Landia and Scandia have a comparative advantage in chips.
A. Landia has a comparative advantage in chips while Scandia has a comparative advantage in fish.
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Which of the following bonds would have the highest default risk?
A) municipal bonds B) investment-grade bonds C) U.S. Treasury bonds D) junk bonds
Over the past year price inflation has been 10%, but the price of a used Ford Escort has fallen from $6,000 to $5,000. The real price of a Ford Escort has fallen by:
A) 12%. B) 17% C) 20%. D) 24% E) 32%.
The distinction between microeconomics and macroeconomics is
A) clearly drawn, and there is no overlap between them. B) determined by economists in a clear and concise manner. C) narrowly drawn, and microeconomic analysis often relies on macroeconomic tools. D) often blurred because aggregates are made up of individuals and firms.
One defining characteristic of pure monopoly is that the ________.
A. monopoly produces a product with no close substitutes B. monopoly uses advertising C. entry into the industry is relatively easy, but exit is difficult D. monopoly is a price taker