If two countries produce both wheat and sugar and one country has the comparative advantage in producing wheat then the other country must have the comparative advantage producing sugar
a. True
b. False
Indicate whether the statement is true or false
True
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What are the two main antitrust laws and when were they enacted?
What will be an ideal response?
As the period for firms to expand output is lengthened, the elasticity of the market supply curve will:
a. approach zero. b. increase. c. decrease. d. remain the same since time does not affect the elasticity of market supply.
A year-long drought that destroys most of the summer's crops would be considered a:
A. short-run supply shock. B. long-run demand shock. C. long-run supply shock. D. short-run demand shock.
Which of the following represents a transfer payment?
a. You transfer $1,000 from your bank account to a mutual fund. b. The government sends your grandfather his Social Security check. c. You make a payment to get legal documents showing you purchased a previously owned home. d. Your employer automatically transfers $100 each month from your wages to a non-taxable medical spending account.