Which of the following is true of exchange?
a. Exchange is a zero sum activity; if one party to an exchange gains, the other must lose an equal amount.
b. The exchange value of a good is determined by the cost of the resources required to produce the good.
c. The total output trading partners are able to produce is not influenced by whether the partners trade with each other.
d. Exchange permits trading partners to expand their total output of goods and services as the result of greater specialization in areas where each has a comparative advantage.
D
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Defenders of limits on economic growth are concerned that continued economic growth will eventually:
A. reduce the rate of technological progress. B. make plant and equipment obsolete. C. raise interest rates. D. exhaust natural resources.
If U.S. exports are $2.2 billion and our imports are $2.7 billion
A) the United States is lending to the rest of the world. B) U.S. national saving is too high. C) the United States is borrowing from the rest of the world. D) U.S. investment must decrease.
Under a per se approach to the antitrust laws,
a. the government must prove some anticompetitive outcome from the act b. large size alone can be an antitrust violation c. the action will pass antitrust scrutiny if it is shown to be reasonable d. the only real question is whether the prices charged are reasonable e. the courts have ruled antitrust laws unconstitutional
The macroeconomic policy planner's job is made difficult because of
a. inaccurate multiplier estimates. b. timing problems. c. disagreements over potential GDP. d. uncertain forecasts. e. All of the above are correct.