If A and B are complements, an increase in the price of good A would:

Refer to Table 2-10. This table shows the number of labor hours required to produce a wristwatch and a bushel of rice in Japan and Thailand

a. Which country has an absolute advantage in the production of wristwatches? b. Which country has an absolute advantage in the production of rice? c. What is Japan's opportunity cost of producing one wristwatch? d. What is Thailand's opportunity cost of producing one wristwatch? e. What is Japan's opportunity cost of producing one bushel of rice? f. What is Thailand's opportunity cost of producing one bushel of rice? g. If each country specializes in the production of the product in which it has a comparative advantage, who should produce wristwatches? h. If each country specializes in the production of the product in which it has a comparative advantage, who should produce rice?

The market supply curve for a product:

A. is the supply of an individual consumer. B. will lie to the right of all of the individual supply curves for a product. C. graphically is the vertical sum of the individual supply curves. D. will lie above all of the individual supply curves for a product.

If the elasticity of demand for a good is greater than the government expected: a. Consumers will bear more of the burden of the tax than the government expected. b. Producers will bear more of the burden of the tax than the government expected. c. The tax will raise less revenue than the government expected

d. Both b. and c. are true.

When property rights are well defined and markets are competitive,

a. the total gains from trade (the combined area of producer and consumer surplus) are maximized at the market equilibrium. b. the market equilibrium is consistent with economic efficiency in that all units creating more benefit than cost have been produced. c. the market will automatically move toward the price and quantity where the quantity supplied and the quantity demanded are in balance. d. all of the above are true.