Trade diversion may be such that the combined welfare of two nations in the agreement actually ____ because of ____, not completely offset by the _____.
a. falls; loss of tariff revenue for the importing nation; gain in the exporting nation's producer surplus
b. rises; gains from trade; loss of jobs in the importing industry
c. rises; gain in tariff revenue; gain in jobs
d. remains the same; loss of tariff revenue; gains from product variety
Ans: a. falls; loss of tariff revenue for the importing nation; gain in the exporting nation's producer surplus
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A non-policy reason for the reduction in the natural rate of unemployment is the
a. expansionary nature of monetary policy. b. aging of the U.S. labor force. c. decline in interest rates. d. growing federal budget surplus.
What is the future value of $750 one year from today if the interest rate is 2.5 percent?
a. $766.50 b. $768.75 c. $770.23 d. None of the above are correct to the nearest cent.