101ex2 ans mon - 1. In the U.S. economy, all are generally...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
1 1. In the U.S. economy, all are generally accepted economic functions of government except : A) The provision of public goods B) The production and distribution of consumer goods C) Pursuing policies that lessen the effects of the business cycle D) Pursuing policies which promote and enhance competition in the marketplace 2. In terms of dollar volume of exports and imports, the most important trading partner for the United States is: A) Canada B) Mexico C) Japan D) England 3. World trade has been primarily facilitated by: A) Increased military spending B) General declines in tariffs C) Nontariff barriers D) Import quotas 4. Nations specialize and engage in trade to: A) Protect domestic consumers and producers B) Increase output and income C) Improve transportation D) Promote exports Use the following to answer questions 42-46: Answer the following question(s) on the basis of the data given for two regions, East and West, of a hypothetical world. The nations have the production possibilities for units of food and clothing given below. 5. Refer to the above data. Which statement about the two nations is correct based on the principle of comparative advantage? A) East should specialize in the production of food B) West has a comparative advantage in the production of clothing C) West has a comparative advantage in the production of food D) West should specialize in the production of clothing
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
2 6. The appreciation of the U.S. dollar relative to the British pound would make a vacation trip to: A) The United States less expensive for the British B) London less expensive for Americans C) London more expensive for Americans D) The United States of equal value for the British as a vacation trip to London for Americans 7. GDP is the total market value of: A) All expenditures on natural resources, labor, and capital goods in an economy in a given year B) All expenditures on consumption, investment, and net exports in an economy in a given year
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 7

101ex2 ans mon - 1. In the U.S. economy, all are generally...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online