A significant advantage to being a member of a trade bloc is
A. reduced or eliminated tariffs among member countries.
B. reduced tariff rates only for the largest member countries.
C. higher tariff collections from member countries.
D. None of these; there is no economic advantage to a trade bloc.
Answer: A
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Why are economists sometimes skeptical about international labor standards?
a. They are difficult to enforce. b. They create more competition for U.S. workers. c. GATT does not allow labor standards. d. They may be used as a rationale to protect domestic activities that can no longer compete with imports.
Why can a monopoly make an economic profit in the long run?
A) because there are close substitutes for the firm's product B) because the firm is protected by barriers to entry C) because the firm produces where MR=MC D) because P > MR E) ALL of the above are reasons why a monopoly can make an economic profit in the long run.