When an economy is in equilibrium, _____
a. aggregate expenditures are equal to real GDP
b. investment spending is equal to consumption spending
c. exports are equal to imports
d. aggregate expenditures are equal to nominal GDP
a
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Use the following table to answer the question below. Jake's Production Possibilities ScheduleJane's Production Possibilities SchedulePounds of Green BeansPounds of CornPounds of Green BeansPounds of Corn01600801012020602080404030406020400800Jane should specialize in the production of which good?
A. corn B. green beans C. both D. neither
Given below are the current account transactions of an economy in a year
a. exported goods and services worth $120 billion b. imported goods worth $200 billion c. revenue earned from manufacturing plants situated abroad equals $80 billion d. dividend paid to foreign investors equals $10 billion e. donations and disaster relief funds given to a foreign country equal $10 billion f. received "gifts" worth $5 billion from foreign donors towards poverty alleviation i) Calculate the economy's trade balance. ii) What will be the balance in the economy's current account?
Describe the different possible profit outcomes for a perfectly competitive firm in the short run versus the long run. Explain why they occur
What will be an ideal response?
Which of the following statements is true about the trends in the flow of international trade witnessed in India since its independence?
a. Trade liberalization was unable to boost India's economy in the first few decades of independence. b. Indian software exports now reflect an annual growth rate of an impressive 55 percent. c. The opening of trade and modern telecommunications allowed India's production set to expand and gain comparative advantage in software. d. Trade has enabled Indian engineers to command higher wages than most other nations specializing in software.