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ch_4_test - Chapter 4 test Name MULTIPLE CHOICE Choose the...

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Chapter 4 test Name___________________________________ MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) International trade can have important effects on the distribution of income because 1) _______ A) of government corruption. B) the more powerful country dictates the terms of trade. C) different countries use different currencies. D) some resources are immobile in the short run. E) rich countries take advantage of poor countries. 2) The specific factors model assumes that there are ________ goods and ________ factor(s) of production. 2) _______ A) two; two B) three; two C) four; three D) two; three E) two; one 3) In the specific factors model, a country's production possibility frontier is ________ because of ________. 3) _______
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