Econ - Ch. 23

Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. The import demand curves for the two nations are represented by lines:

7 and 8

Refer to the above table. Assuming that Country Y is open to trade, at what price will it be neither exporting nor importing the product?

$7.00

The "Buy American" campaign is equivalent to a(n):

Quota

Import quotas on products will reduce the quantity of the imported products and:

Increase the price to customers

Major achievements of the European Union (EU) include the following, except:

NOT created common policies on agriculture, transportation, and business practices among its members.

In a world with two products, wheat (w) and coffee (c), nation Alpha produces wheat and nation Beta produces coffee. Nation Alpha prefers an exchange rate of 1W=2C and nation Beta prefers an exchange rate of 1W=1C. The exchange rate preferred by nation:

Beta will prevail if world demand for coffee is great relative to its supply

Refer to the above table for a certain product market in Econland. If Econland were entirely closed to international trade, the equilibrium price and quantity would be:

$8 and 1,800 units

Which is a valid counterargument to the call for higher tariffs to save U.S. jobs?

All nations cannot simultaneously succeed in restricting imports while maintaining exports

In a two-nation world, if country A has a comparative advantage in the production of good X over country B, then country A:

NOT can produce good X with less resources than country B

When a tariff or quota on a product is removed, the action:

NOT hurts nations exporting the product

Nation Statum can produce either 800 units of chemicals or 1,600 units of clothing. Nation Timin can produce either 200 units of chemicals or 800 units of clothing

Nation Statum has a comparative advantage in producing chemicals

Dumping is the sale of a product in a foreign market:

at the price below its domestic price or cost of production

Specialization and trade between individuals or between nations lead to:

higher total output

Tariffs and quotas are costly to consumers because:

consumers shift purchases to higher-prices domestic goods

In the United States, exports of goods and services account for about what percentage of GDP in 2008?

13 percent

Refer to the above graph, where Sd and Dd are the domestic supply and demand for a product. The world price of the product is $6. What would be the difference in the total revenue received by foreign producers after a quota of 20 units is imposed compared with the total revenue received by foreign producers when a $4 per unit tariff is paid?

$80 more revenue with a quota than with a tariff

The principle of comparative advantage indicates that mutually beneficial international trade can take place only when:

Relative costs of production differ between nations

Which of the following products is a leading import of the United States?

Petroleum

A key difference between import quotas and voluntary export restraints (VERs) is that the:

NOT Foreign government administers the former, whereas the domestic government administers the latter NOT one raises the price of the imported product involved, whereas the other one does not

Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. Lines 6 and 8 apply to the same nation and represent, respectively:

NOT domestic demand and domestic supply

A major goal of the world trade organization is to:

liberalize international trade among nations

Which country is the United States' largest trading partner in terms of volume of trade?

Canada

A natural-resource abundant nation would be expected to export a land-intensive commodity such as:

meat

Refer to the above table for a certain product market in Econland. If the world price for this product were $6, then Econland would import:

800 units and domestic producers would supply 1,400

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation call Zancuzi. When the world price for this product is $0.50, Zancuzi will:

NOT import 100 units

The world trade organization is the successor to the:

General Agreement on Tariffs and Trade (GATT)

Which nation has greatly increased its role in international trade in recent years?

China

"The nation needs to prevent foreign nations from selling their excess goods in our nation at a price below cost so we can save American firms." This quotation would be most closely associated with which protectionist argument?

NOT strategic trade policy

The benefits to trading nations based on comparative advantage accrue from:

specialization and trading

if a nation opens up to international trade, it will see falling prices for:

goods that it imports

A licensing requirement, or unreasonable standard pertaining to the product quality and safety for a product that is imported into a country, are examples of:

Nontariff barriers

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If the market is open to international trade but there is a tariff of $2 per unit imposed, the total government revenue generated by the tariff would be:

$80

In 2009, U.S. exports of services ____ U.S. imports of services by about ____.

exceeded; $138B

The Smoot-Hawley Tariff Act of 1930 is notorious for which of the following reasons?

NOT it favored imports over domestic producers

Refer to the above table. If the price is $5.00, there will be:

A domestic surplus of 200 units that will be exported

Refer to the above table. Assuming that Country Y is open to trade, at what price will it be neither exporting nor importing the product?

$7.00

Refer to the above table. If country x is open to international trade, at what price will it begin importing some units of the product?

NOT $4.00

Given the following production possibilities schedules, it can be deduced that:

France has a comparative advantage in producing machinges

Which nation had the largest share of world exports in 2009?

China

Refer to the above table. At what price will Country X import 100 units of the product?

$4.00

From an economic perspective, studies of the costs of trade barriers show that they:

far exceed their benefits for society

An export subsidy for a product will benefit;

NOT domestic consumers of the product (is some sort of consumer though)

When tariffs on imported products are removed by a nation, it will result in:

lower prices and higher quantities consumed

From an economic perspective, studies of the costs of trade barriers show that they;

far exceed their benefits for society

The slopes of the production possibilities curves for two nations reflect the:

opportunity costs of production in the two nations

About how many nation belonged to the World Trade Organization as of 2010?

153

Which is a valid counterargument to the infant industry argument for protective tariffs?

It is difficult to determine which infant industries will become mature industries with a comparative advantage.

Assume that a VER is imposed on an imported product. The difference between the domestic price and the world price is captured by:

Foreign exporters

The Trade Adjustment Assistance Act is focused mainly on assisting:

workers displaced by imports or plant relocations abroad

Assume that a tariff is imposed on an imported product. The difference between the domestic price and the world price is captured by:

NOT domestic consumers

Common arguments often raised to present the case for protectionism included the following, except:

NOT protection against foreign suppliers' dumping

In which of the following nations do exports account for the biggest percentage of GDP in 2008?

Belgium

A maximum limit set on the amounts of commodities that may be imported into a country in any period of time is a:

Quota

Refer to the above table for a certain product market in Econland. If the world price of the product were $6 and an import quota of 400 units were imposed on the product, then the equilibrium price in Econland would be:

NOT $6 and the total quantity available in Econland would be 2,200 units

Refer to the above table. If the world price of the product is $6, then Country Y will:

NOT Export 100 units of the product

The table below shows labor-productivity figures in two countries facing constant costs. Based on the data provided, it can be deduced that;

NOT Country B can produce fewer houses than country A

Which is not a commonly heard argument for protectionism>?

NOT specialization along the lines of comparative advantage can lead to greater economic instability for a nation

If the world price of a product rises relative to the domestic price in a trading nation, then for that product:

NOT exports and imports will decrease

An excise tax that is applied to imported products which are not produced domestically is a(n):

revenue tariff

The best example of a labor-intensive commodity is:

Clothing

There is no comparative advantage between two countries:

There are no gains from specialization and trade

Refer to the above table. At what price will Country X import 100 units of the product?

NOT $4.00

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If this market were closed to international trade, the total revenue that would go to domestic producers would be:

$600, but only $120 if the domestic market were open to international trade

Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. In this two-nation model, the equilibrium world price and quantity will be:

C and Q2

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If an import quota of 40 units were imposed on the product, then the equilibrium price would be:

$8 and the quantity consumed 70 units

Refer to the above data. Which of the following statements is true?

NOT for Xat, the cost of 500 units of corn is 100 units of rice

Which would best describe a protective tariff?

An excise tax that is designed to put foreign producers at a competitive disadvantage in selling in domestic markets

If there is no comparative advantage between two countries:

There are no gains from specialization and trade

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation called Zancuzi. At what price will there be neither imports nor exports?

$1.50

Specialization and trade based on comparative advantage allow nations to attain the following results, except:

NOT higher consumption and standard of living

Refer to the above table for a certain product market in Econland. If the world price of the product were $6 and a tariff of $1 per unit imported is imposed, then the quantity of output that would be supplied domestically would be:

1,600 units, and the quantity of output that would be imported would be 400 units

A basic assumption for comparing the production possibilities curves of two nations is that those possibilities curves reflect differences in:

resource availability and technological capabilities

An export subsidy for a product will benefit:

NOT foreign producers of the product

The s0-called Euro Zone refers to:

The EU nations that have adopted a common currency

if a nation agrees to set an upper limit on the total amount of a product that it exports to another nation, then this situation would be an example of:

a voluntary export restriction

Refer to the above tables. Assume that prior to specialization and trade Germany and the United States both choose production possibility C. Now if each specializes according to its comparative advantage, the resulting gains from specialization and trade will be:

6 million units of autos

The graph above shows the production possibilities curves for two hypothetical nations, Orin and Pohl, which each make two hypothetical products, jaxs and keps. Which of the following statements is correct?

Pohl has a comparative advantage in jaxs

Consider two countries which trade with each other. The degree of specialization according to their respective comparative advantages will be greater if the countries face:

constant costs

Refer to the above graphs and information. It can be deduced that:

Greece has a comparative advantage in chemicals

Refer to the above graphs and information. If Italy and Greece should open up trade with each other, which of the following terms of trade is mutually beneficial?

9 tons of chemicals=5 tons of steel

The main point of Frederic Bastiat's satire is that:

NOT french candle makers would benefit from government restrictions on trade

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation called Zancuzi. If the world price for this product is $2.00, then Zancuzi will:

Export 200 units

Refer to the above data. Assume that Wat originally produced rice and corn at combination C and that Xat originally produced combination B. If the nations are now fully specialized based on comparative advantage, the total gains from specialization and trade are:

50 units of rice and 50 units of corn

Refer to the above table. If Country X is open to international trade and the world-market price of the product is $3, then Country X will:

Neither export nor import the product

The ratio at which nations will exchange one product for another is known as the:

terms of trade

Refer to the above diagrams and information. Assume that prior to specialization and trade, Italy and Greece preferred points I and G on their respective production possibilities curves. As a result of complete specialization according to comparative advantage, the resulting gains in total output will be:

5 steel and 15 chemicals

In terms of absolute dollar volume, the top 3 leaders in world exports are:

Germany, the United States, and China

A nation's export supply curve for a specific product:

is upsloping

The impact of increasing, as opposed to constant, costs is to:

cause the bases for further specialization to disappear as nations specialize according to comparative advantage

Countries engaged in international trade specialize in production based on:

comparative advantage

Refer to the above data. With a $1 per unit tariff, prices (revenue per unit) received by domestic and foreign producers respectively will be:

$2 and $1

If country A can produce both goods X and Y more efficiently, that is, with smaller absolute amounts of resources, than can country B:

A mutually advantageous specialization and trade between A and B may still be possible

Country A limits other nation's exports to Country A to 1,000 tons of coal annually. This is an example of a(n):

import quota

In comparing a tariff and an import quota we find that:

the tariff generates revenue for the United States Treasury but the quota does not.

Refer to the above data. What are the limits of the terms of trade between Gamma and Sigma?

1 tea = 1 pot to 1 tea = 3 pots

Refer to the above data. Alpha's export supply is represented by:

P = $5, 4, 3 Q = 50, 20, 0

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. If the economy is opened to free trade, the price and quantity sold of this product would be:

Pc and z

Differences in production efficiencies among nations in producing a particular good result from:

all of these

Refer to the above diagrams. The solid lines are production possibilities curves; the dashed lines are trading possibilities curves. The data suggest that:

West Lothian should specialize in, and export, beer.

A high tariff on imported good X might reduce domestic employment in industry Y if:

X is an input used domestically in producing Y

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. Sd + Q is the product supply curve after an import quota is imposed. A tariff of Pc Pt or an import quota of wy will have the same effect on:

all of these

Which of the following statements is false?

Studies show that developing nations that have relied on import restrictions to protect domestic industries have had higher growth rates than similar nations pursuing more open economic policies.

Refer to the above data. Suppose that before specialization and trade Alpha chose production alternative C and Beta chose production alternative B. After specialization and trade the gains will be:

20 tons of fish

(Consider This) According to Dallas Federal Reserve economist W. Michael Cox, taken to its extreme, the logic of "buying American" implies that:

people should only consume what they can produce themselves

Which of the following is an example of a capital-intensive commodity?

chemicals

Export supply curves are __________________; import demand curves are ___________________.

upsloping; downsloping

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. With a PcPt per unit tariff, the quantities sold by foreign and domestic producers respectively will be:

wy and w

As a percentage of GDP, U.S. exports are:

considerably lower than in several other industrially advanced nations

Studies show that:

costs of trade barriers exceed their benefits, creating an efficiency loss for society

Which of the following arguments contends that certain industries need to be protected in the interest of national security?

the military self-sufficiency argument

Econ - Ch. 23 - Subjecto.com

Econ – Ch. 23

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Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. The import demand curves for the two nations are represented by lines:

7 and 8

Refer to the above table. Assuming that Country Y is open to trade, at what price will it be neither exporting nor importing the product?

$7.00

The "Buy American" campaign is equivalent to a(n):

Quota

Import quotas on products will reduce the quantity of the imported products and:

Increase the price to customers

Major achievements of the European Union (EU) include the following, except:

NOT created common policies on agriculture, transportation, and business practices among its members.

In a world with two products, wheat (w) and coffee (c), nation Alpha produces wheat and nation Beta produces coffee. Nation Alpha prefers an exchange rate of 1W=2C and nation Beta prefers an exchange rate of 1W=1C. The exchange rate preferred by nation:

Beta will prevail if world demand for coffee is great relative to its supply

Refer to the above table for a certain product market in Econland. If Econland were entirely closed to international trade, the equilibrium price and quantity would be:

$8 and 1,800 units

Which is a valid counterargument to the call for higher tariffs to save U.S. jobs?

All nations cannot simultaneously succeed in restricting imports while maintaining exports

In a two-nation world, if country A has a comparative advantage in the production of good X over country B, then country A:

NOT can produce good X with less resources than country B

When a tariff or quota on a product is removed, the action:

NOT hurts nations exporting the product

Nation Statum can produce either 800 units of chemicals or 1,600 units of clothing. Nation Timin can produce either 200 units of chemicals or 800 units of clothing

Nation Statum has a comparative advantage in producing chemicals

Dumping is the sale of a product in a foreign market:

at the price below its domestic price or cost of production

Specialization and trade between individuals or between nations lead to:

higher total output

Tariffs and quotas are costly to consumers because:

consumers shift purchases to higher-prices domestic goods

In the United States, exports of goods and services account for about what percentage of GDP in 2008?

13 percent

Refer to the above graph, where Sd and Dd are the domestic supply and demand for a product. The world price of the product is $6. What would be the difference in the total revenue received by foreign producers after a quota of 20 units is imposed compared with the total revenue received by foreign producers when a $4 per unit tariff is paid?

$80 more revenue with a quota than with a tariff

The principle of comparative advantage indicates that mutually beneficial international trade can take place only when:

Relative costs of production differ between nations

Which of the following products is a leading import of the United States?

Petroleum

A key difference between import quotas and voluntary export restraints (VERs) is that the:

NOT Foreign government administers the former, whereas the domestic government administers the latter NOT one raises the price of the imported product involved, whereas the other one does not

Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. Lines 6 and 8 apply to the same nation and represent, respectively:

NOT domestic demand and domestic supply

A major goal of the world trade organization is to:

liberalize international trade among nations

Which country is the United States’ largest trading partner in terms of volume of trade?

Canada

A natural-resource abundant nation would be expected to export a land-intensive commodity such as:

meat

Refer to the above table for a certain product market in Econland. If the world price for this product were $6, then Econland would import:

800 units and domestic producers would supply 1,400

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation call Zancuzi. When the world price for this product is $0.50, Zancuzi will:

NOT import 100 units

The world trade organization is the successor to the:

General Agreement on Tariffs and Trade (GATT)

Which nation has greatly increased its role in international trade in recent years?

China

"The nation needs to prevent foreign nations from selling their excess goods in our nation at a price below cost so we can save American firms." This quotation would be most closely associated with which protectionist argument?

NOT strategic trade policy

The benefits to trading nations based on comparative advantage accrue from:

specialization and trading

if a nation opens up to international trade, it will see falling prices for:

goods that it imports

A licensing requirement, or unreasonable standard pertaining to the product quality and safety for a product that is imported into a country, are examples of:

Nontariff barriers

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If the market is open to international trade but there is a tariff of $2 per unit imposed, the total government revenue generated by the tariff would be:

$80

In 2009, U.S. exports of services ____ U.S. imports of services by about ____.

exceeded; $138B

The Smoot-Hawley Tariff Act of 1930 is notorious for which of the following reasons?

NOT it favored imports over domestic producers

Refer to the above table. If the price is $5.00, there will be:

A domestic surplus of 200 units that will be exported

Refer to the above table. Assuming that Country Y is open to trade, at what price will it be neither exporting nor importing the product?

$7.00

Refer to the above table. If country x is open to international trade, at what price will it begin importing some units of the product?

NOT $4.00

Given the following production possibilities schedules, it can be deduced that:

France has a comparative advantage in producing machinges

Which nation had the largest share of world exports in 2009?

China

Refer to the above table. At what price will Country X import 100 units of the product?

$4.00

From an economic perspective, studies of the costs of trade barriers show that they:

far exceed their benefits for society

An export subsidy for a product will benefit;

NOT domestic consumers of the product (is some sort of consumer though)

When tariffs on imported products are removed by a nation, it will result in:

lower prices and higher quantities consumed

From an economic perspective, studies of the costs of trade barriers show that they;

far exceed their benefits for society

The slopes of the production possibilities curves for two nations reflect the:

opportunity costs of production in the two nations

About how many nation belonged to the World Trade Organization as of 2010?

153

Which is a valid counterargument to the infant industry argument for protective tariffs?

It is difficult to determine which infant industries will become mature industries with a comparative advantage.

Assume that a VER is imposed on an imported product. The difference between the domestic price and the world price is captured by:

Foreign exporters

The Trade Adjustment Assistance Act is focused mainly on assisting:

workers displaced by imports or plant relocations abroad

Assume that a tariff is imposed on an imported product. The difference between the domestic price and the world price is captured by:

NOT domestic consumers

Common arguments often raised to present the case for protectionism included the following, except:

NOT protection against foreign suppliers’ dumping

In which of the following nations do exports account for the biggest percentage of GDP in 2008?

Belgium

A maximum limit set on the amounts of commodities that may be imported into a country in any period of time is a:

Quota

Refer to the above table for a certain product market in Econland. If the world price of the product were $6 and an import quota of 400 units were imposed on the product, then the equilibrium price in Econland would be:

NOT $6 and the total quantity available in Econland would be 2,200 units

Refer to the above table. If the world price of the product is $6, then Country Y will:

NOT Export 100 units of the product

The table below shows labor-productivity figures in two countries facing constant costs. Based on the data provided, it can be deduced that;

NOT Country B can produce fewer houses than country A

Which is not a commonly heard argument for protectionism>?

NOT specialization along the lines of comparative advantage can lead to greater economic instability for a nation

If the world price of a product rises relative to the domestic price in a trading nation, then for that product:

NOT exports and imports will decrease

An excise tax that is applied to imported products which are not produced domestically is a(n):

revenue tariff

The best example of a labor-intensive commodity is:

Clothing

There is no comparative advantage between two countries:

There are no gains from specialization and trade

Refer to the above table. At what price will Country X import 100 units of the product?

NOT $4.00

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If this market were closed to international trade, the total revenue that would go to domestic producers would be:

$600, but only $120 if the domestic market were open to international trade

Refer to the above graph which shows the import demand and export supply curves for two nations that produce a product. In this two-nation model, the equilibrium world price and quantity will be:

C and Q2

Refer to the above graph, where Sd and Dd are the domestic supply and demand curves for a product. The world price of the product is $6. If an import quota of 40 units were imposed on the product, then the equilibrium price would be:

$8 and the quantity consumed 70 units

Refer to the above data. Which of the following statements is true?

NOT for Xat, the cost of 500 units of corn is 100 units of rice

Which would best describe a protective tariff?

An excise tax that is designed to put foreign producers at a competitive disadvantage in selling in domestic markets

If there is no comparative advantage between two countries:

There are no gains from specialization and trade

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation called Zancuzi. At what price will there be neither imports nor exports?

$1.50

Specialization and trade based on comparative advantage allow nations to attain the following results, except:

NOT higher consumption and standard of living

Refer to the above table for a certain product market in Econland. If the world price of the product were $6 and a tariff of $1 per unit imported is imposed, then the quantity of output that would be supplied domestically would be:

1,600 units, and the quantity of output that would be imported would be 400 units

A basic assumption for comparing the production possibilities curves of two nations is that those possibilities curves reflect differences in:

resource availability and technological capabilities

An export subsidy for a product will benefit:

NOT foreign producers of the product

The s0-called Euro Zone refers to:

The EU nations that have adopted a common currency

if a nation agrees to set an upper limit on the total amount of a product that it exports to another nation, then this situation would be an example of:

a voluntary export restriction

Refer to the above tables. Assume that prior to specialization and trade Germany and the United States both choose production possibility C. Now if each specializes according to its comparative advantage, the resulting gains from specialization and trade will be:

6 million units of autos

The graph above shows the production possibilities curves for two hypothetical nations, Orin and Pohl, which each make two hypothetical products, jaxs and keps. Which of the following statements is correct?

Pohl has a comparative advantage in jaxs

Consider two countries which trade with each other. The degree of specialization according to their respective comparative advantages will be greater if the countries face:

constant costs

Refer to the above graphs and information. It can be deduced that:

Greece has a comparative advantage in chemicals

Refer to the above graphs and information. If Italy and Greece should open up trade with each other, which of the following terms of trade is mutually beneficial?

9 tons of chemicals=5 tons of steel

The main point of Frederic Bastiat’s satire is that:

NOT french candle makers would benefit from government restrictions on trade

Refer to the above graph showing the domestic demand and supply curves for a specific product in a hypothetical nation called Zancuzi. If the world price for this product is $2.00, then Zancuzi will:

Export 200 units

Refer to the above data. Assume that Wat originally produced rice and corn at combination C and that Xat originally produced combination B. If the nations are now fully specialized based on comparative advantage, the total gains from specialization and trade are:

50 units of rice and 50 units of corn

Refer to the above table. If Country X is open to international trade and the world-market price of the product is $3, then Country X will:

Neither export nor import the product

The ratio at which nations will exchange one product for another is known as the:

terms of trade

Refer to the above diagrams and information. Assume that prior to specialization and trade, Italy and Greece preferred points I and G on their respective production possibilities curves. As a result of complete specialization according to comparative advantage, the resulting gains in total output will be:

5 steel and 15 chemicals

In terms of absolute dollar volume, the top 3 leaders in world exports are:

Germany, the United States, and China

A nation’s export supply curve for a specific product:

is upsloping

The impact of increasing, as opposed to constant, costs is to:

cause the bases for further specialization to disappear as nations specialize according to comparative advantage

Countries engaged in international trade specialize in production based on:

comparative advantage

Refer to the above data. With a $1 per unit tariff, prices (revenue per unit) received by domestic and foreign producers respectively will be:

$2 and $1

If country A can produce both goods X and Y more efficiently, that is, with smaller absolute amounts of resources, than can country B:

A mutually advantageous specialization and trade between A and B may still be possible

Country A limits other nation’s exports to Country A to 1,000 tons of coal annually. This is an example of a(n):

import quota

In comparing a tariff and an import quota we find that:

the tariff generates revenue for the United States Treasury but the quota does not.

Refer to the above data. What are the limits of the terms of trade between Gamma and Sigma?

1 tea = 1 pot to 1 tea = 3 pots

Refer to the above data. Alpha’s export supply is represented by:

P = $5, 4, 3 Q = 50, 20, 0

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. If the economy is opened to free trade, the price and quantity sold of this product would be:

Pc and z

Differences in production efficiencies among nations in producing a particular good result from:

all of these

Refer to the above diagrams. The solid lines are production possibilities curves; the dashed lines are trading possibilities curves. The data suggest that:

West Lothian should specialize in, and export, beer.

A high tariff on imported good X might reduce domestic employment in industry Y if:

X is an input used domestically in producing Y

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. Sd + Q is the product supply curve after an import quota is imposed. A tariff of Pc Pt or an import quota of wy will have the same effect on:

all of these

Which of the following statements is false?

Studies show that developing nations that have relied on import restrictions to protect domestic industries have had higher growth rates than similar nations pursuing more open economic policies.

Refer to the above data. Suppose that before specialization and trade Alpha chose production alternative C and Beta chose production alternative B. After specialization and trade the gains will be:

20 tons of fish

(Consider This) According to Dallas Federal Reserve economist W. Michael Cox, taken to its extreme, the logic of "buying American" implies that:

people should only consume what they can produce themselves

Which of the following is an example of a capital-intensive commodity?

chemicals

Export supply curves are __________________; import demand curves are ___________________.

upsloping; downsloping

Refer to the above diagram, where Sd and Dd are the domestic supply and demand for a product and Pc is the world price of that product. With a PcPt per unit tariff, the quantities sold by foreign and domestic producers respectively will be:

wy and w

As a percentage of GDP, U.S. exports are:

considerably lower than in several other industrially advanced nations

Studies show that:

costs of trade barriers exceed their benefits, creating an efficiency loss for society

Which of the following arguments contends that certain industries need to be protected in the interest of national security?

the military self-sufficiency argument

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A client with amyotrophic lateral sclerosis (ALS) tells the nurse, "Sometimes I feel so frustrated. I can’t do anything without ...

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NASM Flashcards

Which of the following is the process of getting oxygen from the environment to the tissues of the body? Diffusion ...

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