In the past two decades the United States lost its comparative advantage in automobiles to Japan. What factor was most responsible for the development of Japan's comparative advantage in automobiles?
A) Japan has abundant supplies of natural resources needed to produce automobiles.
B) Japanese firms benefited from external economies.
C) Japanese firms excelled in process technology.
D) Japan has abundant supplies of labor.
C
You might also like to view...
The ________ rate is the rate at which one currency can be traded for another
A) explicit exchange B) nominal exchange C) expected exchange D) real exchange
If 8,000 workers are unemployed, then the minimum wage must be
a. $8 b. $12. c. $6 d. $14.
The natural rate of unemployment:
A. Means that the economy will always operate at that rate B. Means that the economy will always realize its potential output C. Is equal to the total of frictional and structural unemployment D. Is a fixed unemployment rate that does not change over time
The increasing popularity of hotdogs in a food joint has pushed up their price, making it unaffordable for many students living in the surrounding areas. This is an example of a ________
A) positive externality B) negative externality C) pecuniary externality D) free-rider problem