Suppose that Brazil is capital abundant and Chile is natural resource abundant. If timber is natural resource intensive and computers are capital intensive, then according to the Heckscher-Ohlin Theorem, Chile should export goods that
A) intensively use labor input.
B) intensively use capital input.
C) intensively use natural resources.
D) use capital and labor in about equal proportions.
C
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Suppose a price searcher faces the following demand curve: At $100, $90, $80, $70, and $60, the quantity demanded is 1, 2, 3, 4, and 5 units respectively. If the firm's marginal cost is $40 at any level of output, it would maximize net revenues by
A) producing 5 units and charging $60. B) producing 4 units and charging $70. C) producing 3 units and charging $80. D) producing 2 units and charging $90.
Saving is negative below a disposable income of
A. 0.
B. 1500.
C. 2000.
D. 2500.
Refer to the information provided in Figure 7.9 below to answer the question(s) that follow. 
Figure 7.9Refer to Figure 7.9. The slope of isocost CD is
A. greater than the slope of isocost AB. B. less than the slope of isocost AB. C. equal to the slope of isocost AB. D. indeterminate from this information, as the prices of capital and labor are not given.
The official definition of poverty is
A) exactly the 10 percent of U.S. residents with the lowest incomes. B) exactly the 20 percent of U.S. residents with the lowest incomes. C) exactly the 50 percent of U.S. residents with the lowest incomes. D) a relative measure.