Comparative Advantage and Measuring Trade

Last updated almost 7 years ago

8 questions

Note from the author:

GSE International Domain

Library

Comparative Advantage and Measuring Trade

Last updated almost 7 years ago

8 questions

Note from the author:

GSE International Domain

Question 1

Examine the image above.

Based on the image above, which country has the absolute advantage in the production of sugar?

Candonia

Lamponia

It is impossible to tell.

Question 2

Use the image above to answer the question.

If the countries above were to specialize and trade, which good should Candonia produce?

sugar

grain

It is impossible to tell.

Question 3

When a country can generate more output than another country using the same resources, the country is said to have a(n)

comparative advantage

absolute advantage

production advantage

trade advantage

Question 4

When a country can produce a product at a lower opportunity cost than another country, the country is said to have a(n)

comparative advantage

absolute advantage

production advantage

trade advantage

Question 5

Trade occurs primarily because

developing countries have cheaper labor.

many countries do not have certain resources.

comparative advantages exist among countries.

trade generates wealth for governments.

Question 6

Which of the following best defines the term "balance of trade"?

The value of a country's exports minus the value of the country's imports.

The value of a country's imports minus the value of teh country's exports.

The value of a country's net exports added to consumers spending.

The value of a country's net exports subtracted from consumer spending.

Question 7

When the value of a country's exports exceed the value of its imports, then the country has

a budget deficit.

a trade deficit.

a budget surplus.

a trade surplus.

Question 8

For a country to have a trade deficit, which of the following would have to be greater?

exports

imports

Question 1

Examine the image above.

Based on the image above, which country has the absolute advantage in the production of sugar?

Candonia

Lamponia

It is impossible to tell.

Question 2

Use the image above to answer the question.

If the countries above were to specialize and trade, which good should Candonia produce?

sugar

grain

It is impossible to tell.

Question 3

When a country can generate more output than another country using the same resources, the country is said to have a(n)

comparative advantage

absolute advantage

production advantage

trade advantage

Question 4

When a country can produce a product at a lower opportunity cost than another country, the country is said to have a(n)

comparative advantage

absolute advantage

production advantage

trade advantage

Question 5

Trade occurs primarily because

developing countries have cheaper labor.

many countries do not have certain resources.

comparative advantages exist among countries.

trade generates wealth for governments.

Question 6

Which of the following best defines the term "balance of trade"?

The value of a country's exports minus the value of the country's imports.

The value of a country's imports minus the value of teh country's exports.

The value of a country's net exports added to consumers spending.

The value of a country's net exports subtracted from consumer spending.

Question 7

When the value of a country's exports exceed the value of its imports, then the country has

a budget deficit.

a trade deficit.

a budget surplus.

a trade surplus.

Question 8

For a country to have a trade deficit, which of the following would have to be greater?

exports

imports

Comparative Advantage and Measuring Trade

Comparative Advantage and Measuring Trade

Examine the image above.Based on the image above, which country has the absolute advantage in the production of sugar?

Use the image above to answer the question.If the countries above were to specialize and trade, which good should Candonia produce?

When a country can generate more output than another country using the same resources, the country is said to have a(n)

When a country can produce a product at a lower opportunity cost than another country, the country is said to have a(n)

Trade occurs primarily because

Which of the following best defines the term "balance of trade"?

When the value of a country's exports exceed the value of its imports, then the country has

For a country to have a trade deficit, which of the following would have to be greater?

Examine the image above.Based on the image above, which country has the absolute advantage in the production of sugar?

Use the image above to answer the question.If the countries above were to specialize and trade, which good should Candonia produce?

When a country can generate more output than another country using the same resources, the country is said to have a(n)

When a country can produce a product at a lower opportunity cost than another country, the country is said to have a(n)

Trade occurs primarily because

Which of the following best defines the term "balance of trade"?

When the value of a country's exports exceed the value of its imports, then the country has

For a country to have a trade deficit, which of the following would have to be greater?

Examine the image above.

Based on the image above, which country has the absolute advantage in the production of sugar?

Use the image above to answer the question.

If the countries above were to specialize and trade, which good should Candonia produce?

Examine the image above.

Based on the image above, which country has the absolute advantage in the production of sugar?

Use the image above to answer the question.

If the countries above were to specialize and trade, which good should Candonia produce?