A) make everyone better off B) make some people produce better goods C) make some countries pay more for all goods D) make some people better off and some people worse off A) make everyone better off B) make some people produce better goods C) make some countries pay more for all goods D) make some people better off and some people worse off

A) lead to self-sustaining countries B) reduce the quantity of goods available in the economy C) allow each country to do what they are better at, than other countries D) lead to goods being produced at a lower quality A) lead to self-sustaining countries B) reduce the quantity of goods available in the economy C) allow each country to do what they are better at, than other countries D) lead to goods being produced at a lower quality

A) absolute advantage B) comparative advantage C) trade subsidies D) free trade agreements A) absolute advantage B) comparative advantage C) trade subsidies D) free trade agreements

A) wrote books opposing the ideas of Adam Smith B) argued in favour of Britain following a free-trade policy C) was the founder of modern economics D) wrote An Inquiry into the Nature and Causes of the Wealth of Nations in 1776 A) wrote books opposing the ideas of Adam Smith B) argued in favour of Britain following a free-trade policy C) was the founder of modern economics D) wrote An Inquiry into the Nature and Causes of the Wealth of Nations in 1776

Exam 3: Interdependence and the Gains From Trade

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Julia can produce 15 apple pies or one dozen croissants in one day. Jacque can produce two apple pies or 10 dozen croissants in one day. a. Draw the production possibilities frontiers for Julia and Jacque. b. What pattern of specialisation and trade will benefit both Julia and Jacque?

(Essay)

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Question 21

Trade is not based on absolute advantage; rather it is based on comparative advantage.

(True/False)

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Question 22

Graph 3-1 These figures illustrate the production possibilities frontiers for Robinson Crusoe and Friday with 12 hours of labour. -According to Table 3-1:

(Multiple Choice)

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Question 23

Trade will:

(Multiple Choice)

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Question 24

Why do countries outsource their jobs to other countries? Give an example to help explain why this might occur.

(Essay)

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Question 25

Table 3-4 -According to Table 3-4, England and Spain could benefit by specialising in _____ respectively:

(Multiple Choice)

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Question 26

Is the statement 'international trade can make everyone better off' true? Why or why not?

(Essay)

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Question 27

Table 3-3 -According to Table 3-3, the US and Europe could benefit by specialising in _____ respectively.

(Multiple Choice)

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Question 28

If a country imports goods from overseas, it will always suffer a reduction in welfare.

(True/False)

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Question 29

Table 3-4 -According to Table 3-4:

(Multiple Choice)

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Question 30

The principle of comparative advantage was developed in Adam Smith's 1817 book Principles of Political Economy and Taxation.

(True/False)

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Question 31

Graph 3-1 These figures illustrate the production possibilities frontiers for Robinson Crusoe and Friday with 12 hours of labour. -Refer to Graph 3-1. For Robinson Crusoe, the opportunity cost of 1 kg of fish is:

(Multiple Choice)

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Question 32

Table 3-3 -Refer to Table 3-3. If the US and Europe trade according to the principle of comparative advantage:

(Multiple Choice)

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Question 33

If one country can produce all goods more cheaply than another, there is no reason to trade.

(True/False)

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Question 34

Table 3-4 -Refer to Table 3-4. If England and Spain trade according to the principle of comparative advantage, Spain will export which product to England?

(Multiple Choice)

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Question 35

Trade is likely to:

(Multiple Choice)

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Question 36

Trade is based on:

(Multiple Choice)

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Question 37

David Ricardo:

(Multiple Choice)

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Question 38

Table 3-2 -Refer to Table 3-2. For Lee the opportunity cost of 1 kg of rice is:

(Multiple Choice)

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Question 39

Lee can pick 30 apples in one hour. He can pick 60 kiwifruit in half an hour. The opportunity cost to Lee of picking one apple is four kiwifruit.

(True/False)

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Question 40

Showing 21 - 40 of 110

Exam 3: Interdependence and the Gains From Trade

Julia can produce 15 apple pies or one dozen croissants in one day. Jacque can produce two apple pies or 10 dozen croissants in one day. a. Draw the production possibilities frontiers for Julia and Jacque. b. What pattern of specialisation and trade will benefit both Julia and Jacque?

Trade is not based on absolute advantage; rather it is based on comparative advantage.

Graph 3-1 These figures illustrate the production possibilities frontiers for Robinson Crusoe and Friday with 12 hours of labour. -According to Table 3-1:

Trade will:

Why do countries outsource their jobs to other countries? Give an example to help explain why this might occur.

Table 3-4 -According to Table 3-4, England and Spain could benefit by specialising in _____ respectively:

Is the statement 'international trade can make everyone better off' true? Why or why not?

Table 3-3 -According to Table 3-3, the US and Europe could benefit by specialising in _____ respectively.

If a country imports goods from overseas, it will always suffer a reduction in welfare.

Table 3-4 -According to Table 3-4:

The principle of comparative advantage was developed in Adam Smith's 1817 book Principles of Political Economy and Taxation.

Graph 3-1 These figures illustrate the production possibilities frontiers for Robinson Crusoe and Friday with 12 hours of labour. -Refer to Graph 3-1. For Robinson Crusoe, the opportunity cost of 1 kg of fish is:

Table 3-3 -Refer to Table 3-3. If the US and Europe trade according to the principle of comparative advantage:

If one country can produce all goods more cheaply than another, there is no reason to trade.

Table 3-4 -Refer to Table 3-4. If England and Spain trade according to the principle of comparative advantage, Spain will export which product to England?

Trade is likely to:

Trade is based on:

David Ricardo:

Table 3-2 -Refer to Table 3-2. For Lee the opportunity cost of 1 kg of rice is:

Lee can pick 30 apples in one hour. He can pick 60 kiwifruit in half an hour. The opportunity cost to Lee of picking one apple is four kiwifruit.

Ten Principles of Economics

Thinking Like an Economist

The Market Forces of Supply and Demand

Elasticity and Its Application

Supply, Demand and Government Policies

Consumers, Producers and the Efficiency of Markets

Application: the Costs of Taxation

Application: International Trade

Externalities

Public Goods and Common Resources

The Design of the Tax System

The Costs of Production

Firms in Competitive Markets

Monopoly

Monopolistic Competition

Oligopoly and Business Strategy

Competition Policy

The Markets for the Factors of Production

Earnings and Discrimination

Income Inequity and Poverty

The Theory of Consumer Choice

Frontiers of Microeconomics

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