If a country has
A) an absolute advantage in producing a good, it definitely also has a comparative advantage in producing that good.
B) an absolute advantage in producing a good, it might or might not have a comparative advantage in producing that good.
C) a comparative advantage in production of a good, it must also have an absolute advantage in producing that good.
D) an absolute advantage in producing a good, it definitely will not have a comparative advantage in producing that good.
E) None of the above answers is correct.
B
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One common source of market failure is
A) perfect information. B) pollution. C) private goods. D) perfect competition.
Changes in which of the following change the demand for capital and shifts the demand curve for capital?
A) current income B) expected future income C) the rental rate D) the marginal product of capital