Countries that engage in trade will tend to specialize in the production of goods and services in which they have ________ and will ________ these goods and services
A) a comparative advantage; export B) a comparative advantage; import
C) an absolute advantage; import D) an absolute advantage; export
A
You might also like to view...
Assume that you borrow $2000 at 10% annual interest to finance a new business project. For this loan to be profitable, the minimum amount this project must generate in annual earnings is
A) $400. B) $201. C) $200. D) $199.
Refer to the table below. If the senior manager learns that either a Good or Poor market will exist when the drug is introduced to the market, which drug should the senior manager not pursue?
The senior manager of Rx Pharmaceuticals needs to decide which of three drugs the company should consider developing. The estimated profit for each of the drugs differs depending on the market conditions when the respective drugs are introduced to the market. The above table summarizes the estimated profit for each drug under each of the three market conditions; Good, Fair, and Poor.
A) Drug A
B) Drug B
C) Drug C
D) none of the drugs
The production possibilities curve tells us:
A. the specific combination of two products that is most desired by society. B. that costs do not change as society varies its output. C. that costs are irrelevant in a society that has fixed resources. D. the combinations of two goods that can be produced with society's available resources.
In introducing the opportunity cost of time into the theory of consumer behavior, we find that, all else equal:
A. one should consume less of time-intensive goods. B. one should consume more of time-intensive goods. C. the consumer's equilibrium position is not altered. D. the marginal utility derived from each product must be multiplied by consumption time in determining equilibrium.