Chapter 3 Study Questions
1a. France has an absolute advantage in cheese, while Germany has an absolute advantage in
1b. The relative price of cheese in France if it does not trade is .125(kg/car). In Germany the
relative price is .5(kg/car).
Demographic and Economic Characteristics
China has the 2nd largest economy after the United States
Predicted to become largest in 10 years (Gerber 413).
With respect to BRICs, China has the largest economy
-There is about 1.3 billion people in China
Chapter 6: The Theory of Tariffs and Quotas
I. Introduction: Tariffs and Quotas
A. Analysis of a Tariff
-Transparent: Describes any trade barrier that is clearly defined as a barrier.
Tariffs have the most transparency (are the most transparent) because t
Econ 236 Test 3 Review
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question,
Use the information in the following table to answer the following question(s).
Exports of goods and services
ECON 236: International Economics
5 December 2013
The Modern Economy of Japan
Japan has roots that trace back to ancient times, though modern day Japan is
essentially a product of the post World War II era. After the war, the Japanese rebuilt their
o After defeat in World War II, Japan was left in ruins, which proved to be
beneficial in a way
o Japan was able to start from scratch
Investment was focused on industry in the form of state-of-the-art
equipment, creating an advantage