Exam 9: Application International Trade: The Determinants of Trade

Suppose Jamaica has an absolute advantage over other countries in producing sugar,but other countries have a comparative advantage over Jamaica in producing sugar.If trade in sugar is allowed,Jamaica

Suppose Brazil has a comparative advantage over other countries in producing almonds,but other countries have an absolute advantage over Brazil in producing almonds.If trade in almonds is allowed,Brazil

Suppose Ireland exports beer to China and imports pineapples from the United States.This situation suggests that

A tariff is a

By comparing the world price of pecans to India's domestic price of pecans,we can determine whether India

Assume,for Japan,that the domestic price of automobiles without international trade is lower than the world price of automobiles.This suggests that,in the production of automobiles,

A tax on an imported good is called a

The nation of Farmland forbids international trade.In Farmland,you can exchange 1 pound of beef for 2 pounds of pepper.In other countries,you can exchange 1 pound of beef for 4 pounds of pepper.These facts indicate that

Suppose the nation of Canada forbids international trade.In Canada,you can obtain a hockey stick by trading 5 baseball bats.In other countries,you can obtain a hockey stick by trading 8 baseball bats.These facts indicate that

The market for soybeans in Canada consists solely of domestic buyers of soybeans and domestic sellers of soybeans if

Trade among nations is ultimately based on

If the world price of coffee is lower than Colombia's domestic price of coffee without trade,then Colombia

If a country is an exporter of a good,then it must be the case that

Assume the nation of Teeveeland does not trade with the rest of the world.By comparing the world price of televisions to the price of televisions in Teeveeland,we can determine whether

The price of a good that prevails in a world market is called the

If a country allows trade and,for a certain good,the domestic price without trade is higher than the world price,

Jamaica has a comparative advantage in the production of aluminum,but currently allows no international trade in aluminum.We can conclude that

A country has a comparative advantage in a product if the world price is

Suppose that Honduras opens its markets to international trade.As a result of this,the domestic price of coffee decreases.We can conclude that

If the world price of coffee is higher than Colombia's domestic price of coffee without trade,then Colombia