If the opportunity cost of corn to wheat is 3:1 in the United States and 5:1 in France, both countries would benefit from trade if the actual terms of trade between corn and wheat were 4:1.

Economics

A) is a social science. B) is concerned with limited resources. C) is concerned with unlimited wants. D) All of the above are correct.

In the classical model, a rightward shift in the aggregate demand curve will, in the long run,

A) increase real GDP and the price level. B) increase real GDP and will not change the price level. C) decrease real GDP and will not change the price level. D) not change real GDP and will increase the price level.