A tariff differs from a quota in that a tariff is:
a. levied on imports, whereas a quota is imposed on exports.
b. levied on exports, whereas a quota is imposed on imports.
c. a tax levied on exports, whereas a quota is a limit on the number of units of a good that can be exported.
d. a tax imposed on imports, whereas a quota is an absolute limit to the number of units of a good that can be imported.
d
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Prior to 1921, the President _____ the budget process
a. played a significant role in b. played a minor role in c. played no direct role in d. determined the nature of
The world output is higher if the countries follow restrictive trade policies rather than free trade
a. True b. False Indicate whether the statement is true or false
In the short run, with predetermined prices, when output is greater than planned aggregate expenditures:
A. potential output is greater than short-run equilibrium output. B. planned investment is greater than actual investment. C. potential output is less than short-run equilibrium output. D. planned investment is less than actual investment.
Exhibit 21-2 Production possibilities curves for U.S. and Mexico
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As shown in Exhibit 21-2, the United States has a comparative advantage over Mexico in:
A. wheat, but not in cloth. B. cloth, but not in wheat. C. both wheat and cloth. D. neither wheat nor cloth