An economic theory about international trade that is based on the assumption that there are only two countries trading two goods
a. is useless, since the real world has many countries trading many goods.
b. can be useful only in situations involving two countries and two goods.
c. can be useful in the classroom, but is useless in the real world.
d. can be useful in helping economists understand the complex world of international trade involving many countries and many goods.
d
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Which of the following would likely result in a shift of the aggregate demand curve to the right?
A) a rise in the real interest rate B) a decrease in the quantity of money in circulation C) a decrease in job security D) a tax cut
Other things being equal, an increase in wages paid to workers in firms making digital devices will cause
A) the quantity of digital devices demanded to increase. B) the quantity of digital devices supplied to decrease. C) the supply of digital devices to decrease. D) the demand for digital devices to decrease.
If workers become more productive, which of the following would happen in the labor market?
a. Labor supply would increase. b. Labor supply would decrease. c. Labor demand would increase and labor supply would decrease. d. Labor demand would decrease and so would labor supply. e. Labor demand would increase.
Tariff is a legal limit on the amount of a commodity that can be imported
Indicate whether the statement is true or false