Using a model of imperfect competition, economist Daniel Trefler concluded that the North American Free Trade Agreement:
a. cost Canada more than 100,000 jobs that were never replaced.
b. presented no real issue about job loss in Canada.
c. caused Canada to lose 5% of jobs in manufacturing because Canadian tariffs had to be cut, but over time the trade agreement created higher productivity and more jobs to offset losses.
d. created new jobs in Canada from day one, as firms sold across the border and undercut U.S. firms.
Ans: c. caused Canada to lose 5% of jobs in manufacturing because Canadian tariffs had to be cut, but over time the trade agreement created higher productivity and more jobs to offset losses.
You might also like to view...
"Any tax cut to increase demand for output should favor lower-income people" is a ________ statement about ________ policy.
A. normative; fiscal B. positive; monetary C. normative; monetary D. positive; fiscal
When the ratios of the marginal utility to the price of goods are equal, you're maximizing utility.
Answer the following statement true (T) or false (F)
Since the late 1970s, the United States
A) has experienced only moderate inflation, usually between 2 to 3 percent. B) has seen a steadily increasing rate of inflation. C) has experienced low inflation, except for a seven-year period between 1979 and 1986. D) has experienced high inflation followed by a long period of deflation.
Keynesians identify three principal motives for demanding money. They are the:
A. transactions demand, precautionary demand, and liquidity motive. B. transactions demand, precautionary demand, and convertibility motive. C. transactions demand, speculative demand, and volatility motive. D. transactions demand, speculative demand, and precautionary demand.