Specialization
a. can increase total output without an increase in resources.
b. is beneficial only if exchange takes place.
c. should be based on the principle of comparative advantage.
d. All of the above are correct.
d. All of the above are correct.
You might also like to view...
Price floors lead to market surpluses.
Answer the following statement true (T) or false (F)
In the long run, when an economy experiences inflation, the price level ________ and the nominal interest rate ________
A) rises; falls B) rises; rises C) rises; remains constant D) remains constant; rises E) falls; rises
Extensive growth is driven by
A) very high savings rates. B) rapid capital accumulation. C) improved multifactor productivity. D) A and B. E) all of the above.
An increase in demand for a good can be caused by
A) a decrease in the price of a substitute good. B) a reduction in income if the good is a normal good. C) a decrease in the price of a complementary good. D) an increase in price of a complementary good.