Suppose that Canada can produce 15 timber or 3 film and Mexico can produce 9 timber or 3 film. Suppose that opportunity costs are constant. Which of the following is FALSE?
A) Canada has an absolute advantage in timber production.
B) Mexico has a comparative advantage in film production.
C) The opportunity costs for producing timber are lower in Canada than in Mexico.
D) Canada and Mexico would find trade mutually advantageous at a ratio of one unit of film to six units of timber.
D
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When Americans or foreigners expect the return on dollar assets to be high relative to the return on foreign assets, there is a ________ demand for dollar assets and a correspondingly ________ demand for foreign assets
A) higher; higher B) higher; lower C) lower; higher D) lower; lower
The Federal Reserve Board of Governors has:
a. seven members who serve 6-year terms. b. 12 members who serve 14-year terms. c. seven members who serve 4-year terms. d. 12 members who serve 4-year terms. e. seven members who serve 14-year terms.