How is foreign trade in inputs similar to trade in outputs?
A. U.S. producers buy (outsource) cheap foreign inputs (labor) while U.S. consumers buy cheap foreign outputs (U.S. imports).
B. U.S. producers sell (outsource) cheap foreign inputs (labor) while U.S. consumers buy cheap foreign outputs (U.S. imports).
C. U.S. consumers sell (outsource) cheap foreign inputs (labor) while U.S. producers sell cheap foreign outputs (U.S. imports).
D. All of the choices are correct.
Answer: A
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The life insurance industry's share of total financial intermediary assets fell from 15.3% at the end of 1970 to 11.5% at the end of 1980 because of
A) poor investment returns in the 1970s. B) widespread failures of life insurance companies. C) federal regulations limiting the sale of life insurance. D) unpredictability of payouts.