When trade is possible, each country can produce the goods that it has:
A. a comparative advantage at producing, rather than the exact combination of goods its consumers want.
B. an absolute advantage at producing, rather than the exact combination of goods its consumers want.
C. an absolute advantage at producing, rather than the goods it has a comparative advantage in.
D. a comparative advantage at producing, rather than the exact combination of goods its producers want.
A. a comparative advantage at producing, rather than the exact combination of goods its consumers want.
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Investment spending at any level of national income is the investment producers
a. actually make b. expected to make c. expect to make d. make net of actual investment e. intend to make
In the monetarist version of the AD-AS framework, an increase in the money supply produces a __________ shift of the __________ curve
A) rightward; AD B) rightward; SRAS C) leftward; AD D) leftward; SRAS
Answer the question on the basis of the following data. All figures are in billions of dollars. Personal Taxes 40 Social Security Contributions 15 Taxes on Production and Imports 20 Corporate Income Taxes 40 Transfer Payments 22 US Exports 24 Undistributed Corporate Profits 35 Government Purchases 90 Gross Private Domestic Investment 75 US Imports 22 Personal Consumption Expenditures 250 Consumption of Fixed Capital 25 Net Foreign Factors Income 10 Statistical Discrepancy 0 Refer to the above data. NDP is:
a) $370. b) $402. c) $392. d) $467.
Fundamentally, countertrade is best described as a(n) ________ transaction.
A) simple B) common C) desirable D) inefficient