The OCA of the European Union falls short of the United States, for each of the following reasons, EXCEPT:
A) labor market integration in the European Union is weaker.
B) goods market integration in the European Union is weaker.
C) fiscal transfers are negligible.
D) the European Union has more asymmetric shocks.
Ans: D) the European Union has more asymmetric shocks.
You might also like to view...
Inmates at the federal penitentiary at Lompoc, California, accepted packages of mackerel in exchange for goods and services. What function do these packages of mackerel perform?
A) They function as a store of value. B) They function as a medium of exchange. C) They function as a unit of account. D) They function as a factor of production.
Philip is an average contractor in town, and he earns $40,000 a year. Billy is the best contractor in town, and he earns $480,000 a year. Philip's contracting services
a. are valued more by the market relative to Billy's and that explains why his income is higher than Billy's. b. are valued less by the market relative to Billy's and that explains why his income is higher than Billy's. c. are valued less by the market relative to Billy's and that explains why his income is lower than Billy's. d. are more expensive because he receives a compensating differential.