When there is a recession (a fall in output) and prices are increasing, and this situation is caused by adverse supply shocks, the term economists use to describe it is:

Sefronia and Bella share an apartment and they are deciding whether or not to purchase a weekly housecleaning service. The value of the service to each of them is $50 and it costs $80 to hire a housecleaner. Should they hire a housecleaner?

A) No, because each will wait for the other to hire the housecleaner. B) Yes, but only if a housecleaner will accept $50 so that each can take turns to pay the housecleaner. C) No, because it will be difficult for them to agree on which housecleaning service to use. D) Yes, if each contributes $50, then each stands to gain a consumer surplus.

The benefits of international trade are derived from trade in

A) tangible goods only. B) intangible goods only. C) goods but not services. D) services but not goods. E) anything of value.