The New Democratic Party in Canada Is Concerned That the Canadian

Multiple Choice

The New Democratic Party in Canada is concerned that the Canadian oil boom has increased the exchange rate, thereby harming the manufacturing sector by making it less competitive in international markets. This concern highlights the notion of _____ and can best be studied by using _____ analysis.

A) Dutch disease; general equilibrium
B) Dutch disease; partial equilibrium
C) Baumol's cost disease; general equilibrium
D) Baumol's cost disease; partial equilibrium