Eileen has a comparative advantage over Jan in piano tuning but not in shoe polishing. Therefore,
a. Jan must have an absolute advantage in piano tuning
b. Eileen must have an absolute advantage in shoe polishing
c. Jan must have a lower opportunity cost of shoe polishing
d. Eileen must have an absolute advantage in shoe polishing and in piano tuning
e. Eileen must have an absolute advantage in piano tuning
C
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The percentage of national income spent on health care
A) has steadily decreased since 1965. B) has steadily increased since 1965. C) increased until the end of the 1970s and then decreased in the 1980s and 2000s. D) decreased until the end of the 1970s and then increased in the 1980s and 2000s.
If we know that the exchange rate is $1.60 per pound then the exchange rate of pounds per dollar is
a. greater than 1.60 b. 0.80 c. 1.00 d. 0.625 e. 1.60