The terms of trade
a. equal the equilibrium price in a competitive market
b. equal a nation's imports minus its exports
c. determine whether specialization according to comparative advantage is economically rational
d. are equal to 1.0 in market equilibrium
e. determine how the gains from international trade are distributed among countries
E
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The segments of a CMO are also called
A) tranches. B) coupons. C) obligations. D) revenues.
The "wealth effect" of lower interest rates is that bond prices are __________ so people respond to this by __________ consumption and thus __________ aggregate demand
A) increased; increasing; increasing B) increased; increasing; decreasing C) lowered; increasing; increasing D) lowered; increasing; decreasing
The price of peanuts drops from 50 cents to 25 cents per pound. How and why might an individual and a group of 1,000 people respond to this price drop very differently?
What will be an ideal response?
Infrastructure is capital that provides services to the public.
Answer the following statement true (T) or false (F)