Multiple Choice
If some industries exhibit internal increasing returns to scale in each country, we should not expect to see
A) intra-industry trade between countries.
B) high levels of specialization in both countries.
C) inter-industry trade between countries.
D) perfect competition in these industries.
E) increased productivity in both countries.
Correct Answer:

Verified
Correct Answer:
Verified
Q22: External economies of scale arise when the
Q23: Restaurant meals are an example of a
Q24: When there are external economies of scale,
Q25: If output is increased in the long
Q26: The long-run market supply curve in the
Q28: The study of factors that influence both
Q29: If a firm's output more than doubles
Q30: If output is increased in the long
Q31: The share of _ goods in employment
Q32: If two countries begin trade and both