According to the classical theory of international trade
A) only countries with low wages will export.
B) only countries with high wages will import.
C) countries with high wages will have higher relative prices of all goods.
D) All the above are false.
D
You might also like to view...
The tables above show the marginal costs and benefits from production of paper. If the market is perfectly competitive and unregulated, at the equilibrium level of output, the marginal external cost is
A) zero B) $10 C) $20 D) $30
At a price of $9.50/pound, people buy 45 pounds of lamb. At a price of $10.50/pound, people buy 35 pounds of lamb. What is the arc elasticity of demand for lamb in this price range?
a. 1.0 b. 2.5 c. 0.4 d. 3.0 e. none of the
The United States experienced _______________ from 1930 to 1933.
A. stagflation B. inflation C. deflation D. budget surpluses
Consider an industry with two firms producing similar products. Each firm's total cost (in dollars) is given below.Acme Manufacturing: TC = 100 + 3Q. Generic Industries: TC = 500 + 3Q. Which of the following statements is true?
A. Acme has a lower marginal cost than does Generic. B. Acme has greater economies of scale than does Generic. C. Acme and Generic have the same marginal cost. D. Marginal cost at each firm depends on the level of output.