One reason for the huge investment by China into the US economy is the:
A. the desire of China to ‘sink’ the US economy.
B. Chinese investors view that US investments are less stable.
C. large savings rate in China that encourage capital outflow.
D. low savings rate in China which makes the cost of borrowing very low in China.
C. large savings rate in China that encourage capital outflow.
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In a two-good world, every allocation would be efficient only if:
a. both individuals were identical. b. both individuals regard the two goods as perfect substitutes. c. both individuals were identical and regard the two goods as perfect complements. d. both individuals were identical and regard the two goods as perfect substitutes.
As a result of legislation to establish a floor price for milk, most dairy farmers will
a. end up earning a normal rate of return in the long run b. end up earning a zero rate of return in the long run c. end up earning a negative rate of return in the long run d. benefit from the increased cost of specialized resources used in dairy farming e. suffer if they own specialized resources at the time the legislation is passed
As a result of the Uruguay Round, production of ________ goods increased in Asian developing countries and polluting emissions in these countries ________ as a result.
A. unskilled-labor-intensive; decreased B. capital and skill-intensive; increased C. capital and skill-intensive; decreased D. unskilled-labor-intensive; increased
Figure 17.1 depicts a firm's marginal revenue product curve. If the product price decreases, the marginal revenue product curve:
A. shifts downward. B. shifts upward. C. remains the same. D. None of these