When one applies the Heckscher-Ohlin model of trade to the issue of trade-related income redistributions, one must conclude that North South trade, such as U.S.-Mexico trade,
A) must help low skill workers on both sides of the border.
B) is likely to hurt high-skilled workers in the U.S.
C) is likely to involve higher overall national economic gains that will be greater than any harm done to low-skilled workers in the U.S.
D) is likely to hurt low-skilled workers in Mexico.
E) gives no advantage to the workers in either country.
C
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In the figure above, the SLF curve is the supply of loanable funds curve and the PSLF curve is the private supply of loanable funds curve. The equilibrium interest rate is ________ percent and the equilibrium quantity of loanable funds is ________
A) 6; $1.6 trillion B) 4; $1.8 trillion C) 4; $1.4 trillion D) 6; $2.0 trillion E) 4; $2.0 trillion
If there is an increase in the demand for U.S. automobiles, the
A) demand for dollars will fall. B) demand for dollars will rise. C) supply of dollars will fall. D) supply of dollars will rise.
A firm that is a price taker faces a perfectly ______ demand curve.
A. horizontal B. vertical C. inelastic D. convex
Expenditures on human capital
a. reflect an expectation of some future return on the investment. b. are generally embodied in a specific individual. c. reflect an investment of resources today to raise productivity in the future. d. All of the above are correct.