Is it possible for a country to have an absolute disadvantage and a comparative advantage in the production of a good?
a. No, these are incompatible on theoretical grounds.
b. No, theory prevents it, but some economists claim it could occur.
c. Yes, this situation can occur.
d. Yes, in theory, although not in reality.
c
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If the return on capital is less than the cost of capital
A) economic profits are zero. B) accounting profits are zero. C) then accounting profits minus economic profit are zero. D) economic profits are negative.
The four components of aggregate expenditure are
A. consumption, investment, government transfers, and net interest. B. spending on durable goods, inventory investment, government debt, and net exports. C. spending on domestic goods, domestic services, foreign goods, and foreign services. D. consumption, investment, government purchases, and net exports.
Suppose Q = KaLb, if a + b < 1 the isoquants will be
a. upward sloping. b. progressively closer together at higher quantities. c. progressively further apart at higher quantities. d. equally spaced.
Realists and economic structuralists contend that the composition of the UN Security Council is an example of which major problem in international law?
a. how laws are ultimately interpreted by the council b. how agreements are made in the first place c. how undesirable norms and values are spread d. how weak or corrupt states are empowered