Which of the following is consistent with international trade theory?
A) The United States needs trade restrictions to stay competitive.
B) The United States has been falling behind Europe and Japan because its economy is too open.
C) The standard of living within a country is a function of the economic strength of the economy and not of its relative position.
D) A country should strive for comparative advantage in manufacturing.
Answer: C
You might also like to view...
________ refers to reductions in a firm's costs that result from an increase in the size of an industry
A) Autarkial dominance B) External economies C) Streamlining D) Internal economies
Which of the following would not cause a change in the demand for cheese?
a. an increase in the price of crackers, which are consumed with cheese b. an increase in the income of cheese consumers c. an increase in the population of cheese lovers d. an increase in the price of cheese