A nation should only import those goods for which it has
a. lower opportunity costs than its trading partner
b. higher opportunity costs than its trading partner
c. zero transaction costs
d. lower costs of production than its trading partner
e. absolute advantage in production compared to its trading partner
B
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A television station reports that the price of coffee has increased but the quantity traded in the market has decreased. This situation would be caused by a(n)
A. increase in supply. B. decrease in supply. C. increase in demand. D. decrease in demand.
What do demand and marginal revenue curves look like in monopolistic competition? How do they compare to the demand and marginal revenue curves in perfect competition and monopoly?
What will be an ideal response?
The Environmental Protection Agency (EPA) cannot reach a target level of pollution through the use of pollution permits
a. True b. False Indicate whether the statement is true or false
During 2008 in the United States, consumer confidence fell significantly. Which of the following will occur as a result of this reduction in consumer confidence?
A) The LM curve will shift up. B) The LM curve will shift down. C) The IS curve will shift rightward. D) The IS curve will shift leftward. E) The IS curve will shift rightward, and the LM curve will shift up.