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If a country is absolutely more efficient than any other country in producing everything, then it would
A. simply export goods and services and import money
B. not trade with others because there would be no benefit in doing so
C. still benefit that nation to specialize and trade those goods in which it possesses a comparative advantage
D. make it unnecessary for other nations to produce anything for themselves
E. represent a refutation of the concept of comparative advantage.
Suppose the price level and value of the U.S. dollar in year one are 1 and $1, respectively. If the price level rises to 1.20 in year two, what is the new value of the dollar?
A simultaneous rise in productivity and nominal wages would shift the short-run aggregate supply curve to the: right if the rise in nominal wages is larger than the rise in productivity. right if the cost per unit of output rises. left if the cost pe..
How elastic/inelastic is the demand for Netflix services at the time of the price change? Do you think that their plan to increase prices was a good idea? How has Netflix fared since this decision to increase prices?
Assume that the economy is starting at a long-run equilibrium. Suppose firms become very optimistic about business conditions and invest heavily in new capital equipment. Assume there is no change in the long-run aggregate supply curve. What is the e..
Briefly discuss China’s journey on its economic achievement from pre-independent until today.
Compute the coefficient of variation for each project and Classify the preferred project according to this criterion.
q. suppose there are two consumers a and b. the utility functions of each consumer are given byuaxy xyubx y 2x ythe
Assume that the economy's real GDP is growing. what will happen to money demand over time? If the Fed leaves the money supply unchanged, what will happen to the interest rate over tiem? If the Fed changes the money supply to match the change in money..
Use the graph to illustrate the economic concepts of scarcity, unemployment, inefficiency, and opportunity costs. When possible, use data points on the graph to accompany your verbal explanation.
Compute the price elasticity of demand for TV Plasmas. Explain how could we classify the demand for TV Plasmas.
In a recessionary expenditure gap, the equilibrium level of real GDP is: A. Less than planned aggregate expenditures B. Greater than planned aggregate expenditures C. Greater than full-employment GDP D. Less than full-employment GDP
If the risk free yield curve is inverted (long term risk free interest rates are lower than short term risk free interest rates), what is this likely to imply about investor’s expectations of future interest rates?
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