Refer to Scenario 2 . What would be the impact of improvements in technology assuming that each country spends one-half of its resources on capital goods?
What will be an ideal response?
There should be a greater improvement in wealth for the wealthier country if each country continues to spend the same percentages.
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In the United States, the use of fiscal policy tools to stabilize the economy gained prominence during
A) the Clinton administration. B) the Kennedy administration. C) the Reagan administration. D) the depression era.
The social benefit of a given level of a public good is the vertical sum of all private benefits for that level
Indicate whether the statement is true or false
A coupon bond has an annual coupon of $75, a par value of $1000, and a market price of $900. Its current yield equals
A) 7.50%. B) 8.33%. C) its yield to maturity. D) Not enough information has been provided to calculate the current yield for this bond.
Which of the following is a characteristic of a monopoly firm?
A) horizontal individual demand curve B) barriers to entry C) easy entry and exit D) many buyers and sellers