What happens to overall living standards when countries trade with other countries?
What will be an ideal response?
When countries specialize in producing goods for which they have a comparative advantage and then trade with the rest of the world, then their living standards tend to rise as people can have more of different goods than before.
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A corporation seeking to expand and looking for the least risky financing option would choose
A. stocks. B. bonds. C. retained earnings. D. a bank loan.
A number of firms who collude to make collective production decisions about quantities or prices is called:
A. a cartel. B. a duopoly. C. market power. D. a joint monopoly.
According to the principle of comparative advantage, total output and consumption levels will be highest when goods are produced in nations according to which of the following conditions?
a. Opportunity costs are lowest. b. Absolute advantages are highest. c. Opportunity costs are equal. d. Absolute advantages are lowest.
Saving is disposable personal income spent on investment
a. True b. False Indicate whether the statement is true or false