In the opening of free trade, if world prices of a good are less than domestic prices of that same good,
a. domestic consumers will experience a loss of surplus.
b. domestic prices will drop to the world price level.
c. all domestic producers of that good will try to find another market because they can't compete with foreign producers.
d. domestic producers will increase the quantity supplied in order to crowd out the foreign-produced good.
b
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Which economic question does the decision to give all of the butter the economy produces to the homeless answer?
a. What to produce? b. How to produce? c. For whom to produce? d. Who has a comparative advantage in butter production? e. Who has an absolute advantage in butter production?
Which of the following is a true statement about recent immigrants to the U.S.?
a. Approximately one-third of immigrants over 25 lack a high school diploma. b. Nearly half of immigrants are from various countries in Asia. c. Approximately two-thirds of immigrants are employed in high-tech jobs. d. Most immigrants have the education and skills of the existing U.S. population.