Exam 2: Trade and Technology: the Ricardian Model

If the maximum number of units of cloth produced is 300 and the Maximum number of units of corn produced is 600, then with a MPLcloth = 2, what is the MPLcorn?

(Multiple Choice)

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Question 121

In order for the production possibilities frontier to be a straight line, Production must exhibit:

(Multiple Choice)

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Question 122

Figure: International Trade Equilibrium (Figure: International Trade Equilibrium) Before trade, how many units of cloth will this nation consume?

(Essay)

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Question 123

In the home equilibrium situation, the relative price of wheat is the same As:

(Multiple Choice)

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Question 124

When two nations have achieved identical relative prices of the two Traded products, we have:

(Multiple Choice)

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Question 125

Figure: Indifference Curves (Figure: Indifference Curves) Of the following points of consumption, Which is MOST desirable for consumers?

(Multiple Choice)

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Question 126

SCENARIO: ABSOLUTE AND COMPARATIVE ADVANTAGE Poland requires 4 hours of labor to produce a ton of coal and 10 hours of Labor to produce 10 bushels of wheat.The Czech Republic requires 6 Hours of labor to produce a ton of coal and 10 hours of labor to produce 10 bushels of wheat. Reference: Ref 25 (Scenario: Absolute and Comparative Advantage) What is the Opportunity cost of coal in Poland?

(Multiple Choice)

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Question 127

SCENARIO: United States Versus United Kingdom In the United States, one worker can produce 10 tons of steel per day or 20 tons of chemicals per day.In the United Kingdom, one worker can Produce 5 tons of steel per day or 15 tons of chemicals per day. Reference: Ref 211 (Scenario: United States Versus United Kingdom) Which of the following Statements is CORRECT?

(Multiple Choice)

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Question 128

Use the following table to determine the absolute and comparative advantages of China and the United States in producing wheat and textiles.

(Essay)

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Question 129

Trade between two nations is NOT possible if they have:

(Multiple Choice)

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Question 130

Figure: Home Production and Consumption (Figure: Home Production and Consumption) The figure gives Home's International trading pattern.Point P is production with trade, and point C is consumption with trade.Which product does Home import?

(Multiple Choice)

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Question 131

Which of the following is NOT considered to be a factor of production?

(Multiple Choice)

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Question 132

SCENARIO: HOME'S WILLINGNESS TO TRADE WHEAT FOR CLOTH Home has a comparative advantage in wheat, and Foreign has a Comparative advantage in cloth.Once trade occurs, Home produces 1,500 bushels of wheat, and Foreign produces 1,000 yards of cloth.The Following table shows the amount of wheat that Home is willing to trade To acquire more cloth. Reference: Ref 213 (Scenario: Home's Willingness to Trade Wheat for Cloth) If the International price of cloth is 1.5 bushels of wheat per yard, how many Bushels of wheat will Home export to Foreign?

(Multiple Choice)

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Question 133

Figure: Indifference Curves (Figure: Indifference Curves) What is the opportunity cost of cloth in Terms of wheat in this example?

(Multiple Choice)

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Question 134

Figure: International Trade Equilibrium (Figure: International Trade Equilibrium) Before trade, how many units of wheat will this nation consume?

(Essay)

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Question 135

Assume that two countries (Home and Foreign) each produce two goods (corn and wheat) under constant cost production.Home produces 0.5 Ton of corn or a ton of wheat with a day of labor.Without trade (in Autarky), Home's daily production is 20 tons of wheat and 10 tons of Corn.Now suppose that Home has the opportunity to trade with Foreign At an international price of corn equal to a ton of wheat per ton of corn. In which product will Home find its comparative advantage?

(Multiple Choice)

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Question 136

Assume that two countries (Home and Foreign) each produce two goods (corn and wheat) under constant cost production.Home produces 0.5 Ton of corn or a ton of wheat with a day of labor.Without trade (in Autarky), Home's daily production is 20 tons of wheat and 10 tons of Corn.Suppose that, after trade occurs, the international price actually Becomes 1.5 tons of wheat per ton of corn.Which of the following Statements is TRUE?

(Multiple Choice)

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Question 137

In an autarkic situation, demonstrate that a country will be at its optimal production if it produces where an indifference curve is tangent to the production possibilities frontier.

(Essay)

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Question 138

SCENARIO: ABSOLUTE AND COMPARATIVE ADVANTAGE Poland requires 4 hours of labor to produce a ton of coal and 10 hours of Labor to produce 10 bushels of wheat.The Czech Republic requires 6 Hours of labor to produce a ton of coal and 10 hours of labor to produce 10 bushels of wheat. Reference: Ref 25 (Scenario: Absolute and Comparative Advantage) Suppose that the International price of coal is 4 1/4 bushels of wheat per ton of coal. Which country is likely to have the larger gain from trade?

(Multiple Choice)

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Question 139

In competitive labor markets, the wage equals:

(Multiple Choice)

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Question 140

Showing 121 - 140 of 173

If the maximum number of units of cloth produced is 300 and the Maximum number of units of corn produced is 600, then with a MPLcloth = 2, what is the MPLcorn?

In order for the production possibilities frontier to be a straight line, Production must exhibit:

Figure: International Trade Equilibrium (Figure: International Trade Equilibrium) Before trade, how many units of cloth will this nation consume?

In the home equilibrium situation, the relative price of wheat is the same As:

When two nations have achieved identical relative prices of the two Traded products, we have:

Figure: Indifference Curves (Figure: Indifference Curves) Of the following points of consumption, Which is MOST desirable for consumers?

Use the following table to determine the absolute and comparative advantages of China and the United States in producing wheat and textiles.

Trade between two nations is NOT possible if they have:

Figure: Home Production and Consumption (Figure: Home Production and Consumption) The figure gives Home's International trading pattern.Point P is production with trade, and point C is consumption with trade.Which product does Home import?

Which of the following is NOT considered to be a factor of production?

Figure: Indifference Curves (Figure: Indifference Curves) What is the opportunity cost of cloth in Terms of wheat in this example?

Figure: International Trade Equilibrium (Figure: International Trade Equilibrium) Before trade, how many units of wheat will this nation consume?

In an autarkic situation, demonstrate that a country will be at its optimal production if it produces where an indifference curve is tangent to the production possibilities frontier.

In competitive labor markets, the wage equals:

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Movement of Labor and Capital Between Countries

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Import Tariffs and Quotas Under Imperfect Competition

International Agreements: Trade, Labor, and the Environment

Introduction to Exchange Rates and the Foreign Exchange Market

Exchange Rates I: the Monetary Approach in the Long Run

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