Suppose that all countries eliminate their barriers to trade. The HeckscherOhlin model predicts that:
a. wages should become more equal throughout the world.
b. wages should become more unequal throughout the world.
c. the volume of international trade should fall.
d. there should be increased migration of labor among countries.
Ans: a. wages should become more equal throughout the world.
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Proponents of a balanced budget amendment argue that the private advantages that each of us realizes from spending on our government programs are paid for almost entirely by other taxpayers
a. True b. False Indicate whether the statement is true or false
In a mixed economy, there is some public influence over the workings of free markets
a. True b. False Indicate whether the statement is true or false
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The total burden of a tax is $10,000 and the tax revenue from this tax is $8,000. The excess burden of this tax is
A. $2,000. B. $8,000. C. $10,000. D. $18,000.