Comparative advantage is
A) when a country can produce a good at a lower opportunity cost compared to other countries.
B) when a country can produce all goods more quickly than any other country.
C) when the production possibilities curve shifts outward to the right.
D) only for individuals and not countries.
Answer: A
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Which of the following statements is equivalent to an appreciation of the dollar relative to the euro?
a. The dollar buys fewer euros now. b. The euro buys fewer dollars now. c. The dollar costs less. d. The euro buys more dollars now
After 15 years with Ford Motor Corporation, one summer Cameron loses his job. His boss explained that his position has been downsized after the technological advances in automobile production. Cameron is best considered
A) not in the labor force. B) frictionally unemployed. C) structurally unemployed. D) cyclically unemployed. E) avoidably unemployed.