Multiple Choice
Each person in Country X can produce 1 ton of steel or 1 ton of coal.Each person in Country Y can produce 3 tons of steel or 4 tons of coal.Assuming constant costs, X will:
A) export steel and import coal.
B) import steel and export coal.
C) import both coal and steel.
D) export both coal and steel.
E) not trade at all.
Correct Answer:

Verified
Correct Answer:
Verified
Q53: Under the banner of comparative advantage, the
Q54: Economists generally believe that international free trade
Q55: The tariff provides an efficient tool for
Q56: The basic effect of a tariff is
Q57: Assume that the two nations described below
Q59: In the long run, a tariff can
Q60: Which of the following are some important
Q61: It is only common sense that countries
Q62: Two areas, Europe and America, can produce
Q63: If the ratio of clothing price to