In a two-country, two-commodity model, if a country has higher labor productivity in producing both the goods, it must produce and export both the goods to the other country.

All of the following will shift the AD curve to the right except a(n):

a. increase in consumer confidence. b. decrease in taxes. c. increase in government spending. d. increase in the MPC. e. increase in transfer payments.

Mass production was made possible by mass consumption, a national market and international trade

Indicate whether the statement is true or false