If the opportunity cost of corn to wheat is 3:1 in the United States and 5:1 in France, only the United States would benefit from trade if the actual terms of trade between corn and wheat were 2:1.

If the Fed uses its tools to expand the money supply, bond prices will be bid down and interest rates will rise

a. True b. False Indicate whether the statement is true or false

Scalping is likely to appear when a price is set below equilibrium price by the seller.

Answer the following statement true (T) or false (F)