If one country's wage level is very high relative to the other's (the relative wage exceeding the relative productivity ratios) then it is probable that
A) free trade will not improve either both countries welfare.
B) free trade will result in no trade taking place.
C) free trade will result in each country exporting the good in which it enjoys comparative advantage.
D) free trade will result in each country exporting the good in which it suffers the greatest comparative disadvantage.
E) free trade will not affect the economic welfare of either country.
C
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Suppliers will be willing to supply a product only if
A) the price received is at least equal to the additional cost of producing the product. B) the price is higher than the average cost of producing the product. C) the price received is at least double the additional cost of producing the product. D) the price received is less than the additional cost of producing the product.
High school graduates earn about ______ salary as college graduates.
a. the same b. one-tenth the c. one-half the d. two-thirds the
Loans made in the federal funds market:
A. are made by the Federal Reserve System to the bank within 24 hours. B. are unsecured loans. C. are insured by the FDIc. D. are highly collateralized.
German banks are able to control a significant number of German firms by
A) making large syndicated loans. B) ownership of shares alone. C) ownership of shares and having proxy voting power over the shares in their custody. D) sheer size in the lending market.