International trade between two nations increases the standard of living of both nations due to
A) specialization and gains from absolute advantage.
B) specialization and gains from comparative advantage.
C) high tariffs.
D) political intervention.
Answer: B
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Starting from long-run equilibrium, a large tax cut will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; higher B. expansionary; higher; potential C. recessionary; higher; potential D. recessionary; lower; lower
As a general rule, antitrust authorities refer to any firm with a market share above ________ percent as a monopoly even though it is technically a dominant firm.
A) 66 B) 75 C) 95 D) 50
According to the U.S. Bureau of Labor Statistics, the term “employed” includes all full time workers and part-time workers.
Answer the following statement true (T) or false (F)
For a monopoly in long-run equilibrium, economic profits are likely to be
A. greater than zero. B. zero C. less than zero D. predatory