If nation A has an absolute advantage over nation B in the production of a product, this implies that:
a. it requires fewer resources in A to produce the good than in B.
b. the cost of producing the good in terms of some other good's production that must be sacrificed is lower in A than in B.
c. nation B could not benefit by engaging in trade with A.
d. nation A should acquire this product by trading with B.
e. nation A could not benefit by engaging in trade with B.
a
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Answer the next question on the basis of the following data. OutputTotal Cost0$24133241348454561669If the marginal cost of the seventh unit of output is $9, then the total cost of producing seven units is
A. $78. B. $84. C. $80. D. unknown.
Theory suggests that minimum-wage laws create ________ unemployment, especially among younger workers
A) frictional B) cyclical C) structural D) under-reported
Macroeconomic equilibrium is always good, because:
a. It gives the nation a breather and allows it to catch up with itself economically. b. Because it is the only place where actual demand equals actual supply. c. Because it is the only place where planned demand equals planned supply. d. Actually, macroeconomic equilibrium can be either good or bad. It is not always good. e. All of the above.
The aggregate supply curve represents levels of output that producers are willing to sell at
A) each level of the real interest rate. B) each level of real GDP. C) each price level. D) each inflation rate.