Suppose that the Zubians can produce 1000 pounds of flour per hours, or catch 500 pounds of fish per hour. In contrast, the Zirconians can produce 1800 pounds of flour per hour, or catch 300 pounds of fish per hours. What is the comparative advantage of the Zubians?
a. Flour.
b. Fish.
c. Neither flour nor fish.
d. Both flour and fish.
b
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According to economist Arnold Kling's perspective on the economy, economic activity is best viewed by focusing on
A) aggregate demand. B) the actions of the Federal Reserve. C) changes in spending. D) specialization and trade.
Given the market rate of interest, the present value of $10,000 to be received after a period of 5 years
A. will be more than the present value of $10,000 to be received after a period of 4 years. B. will be less than the present value of $10,000 to be received after a period of 6 years. C. will be more than the present value of $10,000 to be received after a period of 6 years. D. will be the same as the present value of $10,000 to be received after a period of 6 years.
Figure 19-2
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Of the graphs in Figure 19-2, where the broken line represents the fixed exchange rates, which one shows how a balance of payments deficit could be reduced through a recession in Japan?
A. 1 B. 2 C. 3 D. 4
In 2002, this company was estimated to hold the largest share of the U.S. burger market:
A) McDonald's. B) Burger King. C) Wendy's. D) none of the above.