Oligopolistic industries consist of

Because it is difficult to negotiate multilateral trade agreements, some economists argue that preferential trade agreements are always beneficial since they represent a movement toward freer trade, which is better than no movement at all. Is this argument always correct?

a. Yes; any movement toward freer trade is better than no movement at all. b. No; some preferential trade agreements may have higher trade diversion costs than trade creation gains. c. Yes; all preferential trade agreements have higher trade creation gains than trade diversion losses. d. No; all preferential trade agreements have higher trade diversion losses than trade creation gains.

A good measure of the standard of living is

A) total real GDP. B) real GDP per capita. C) total nominal GDP. D) nominal GDP per capita.