If you can make $25,000 a year teaching, $20,000 a year writing computer programs, $30,000 a year driving a cab, and $40,000 a year as an actor or actress. You have a comparative advantage in
A) teaching.
B) writing computer programs
C) being an actor or actress.
D) one of them but we need more information to know which.
Answer: C
You might also like to view...
The long-run aggregate supply curve shows the
A) maximum GDP the nation will ever produce. B) full-employment level of real GDP. C) level of real GDP associated with a constant price level. D) level of output at which real GDP equals nominal GDP.
Suppose that the annual dividend per share of stock is $1.80 and the closing price of the stock is $32.00, the yield on the stock would be approximately
A. 10.5% B. 5.7% C. 21.6% D. 9.7%
John Maynard Keynes and Friedrich Hayek
a. had similar views with regard to the cause of the Great Depression and what might be done to prevent it from happening again. b. both believed that perverse monetary policy was the primary cause of the ups and downs of the business cycle. c. both believed that budget deficits and surpluses could be used to smooth the ups and downs of the business cycle. d. had polar opposite views with regard to the underlying causes of economic booms and bust, but nonetheless their scholarly work commanded widespread respect among economists.
An increase in interest rates will generally lead to a(n) ____ in present investment and a(n) ____ in future income and production.
A. decrease, decrease B. decrease, increase C. increase, decrease D. increase, increase