This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Refer to Table 2-16. Does either Estonia or Finland have an absolute advantage and if so, in what ... (Read 36 times)

washai

  • Hero Member
  • *****
  • Posts: 523
on: Jun 29, 2018
Refer to Table 2-16. Does either Estonia or Finland have an absolute advantage and if so, in what product?
 
  A) Estonia has an absolute advantage in lumber.
  B) Finland has an absolute advantage in lumber.
  C) Estonia has an absolute advantage in cell phones.
  D) Finland has an absolute advantage in both products.

Question 2

Calculate the new real GDP and explain why real GDP increases by more than 5 billion.
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

frogdreck123456

  • Sr. Member
  • ****
  • Posts: 329
Reply #1 on: Jun 29, 2018
Answer to Question 1

D

Answer to Question 2

Real GDP was initially 150 billion. The increase in investment increased real GDP by 25 billion, so real GDP increases to 175 billion. Real GDP increases by more than the initial increase in investment because the increase in investment increases disposable income which induces additional increases in consumption expenditure. So real GDP increases both because investment increases and also because of induced increases in consumption expenditure.


washai

  • Member
  • Posts: 523
Reply 2 on: Jun 29, 2018
Gracias!

pratush dev

  • Member
  • Posts: 321
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates’s recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Methicillin-resistant Staphylococcus aureus or MRSA was discovered in 1961 in the United Kingdom. It if often referred to as a superbug. MRSA infections cause more deaths in the United States every year than AIDS.

Methicilli ...
Wheelchair Transfer to a Chair or Examination Table Wheelchair Transfer to a Chair or Examination Table
Stand at the side of the table facing the head. Apply lubricant with effleurage from ankle to hip ... Stand at the side of the table facing the head. Apply lubricant with effleurage from ankle to hip ...
How to create a table of values displaying commission and earnings (Question 1) How to create a table of values displaying commission and earnings (Question 1)
table table
8.The following table contains DNA-sequence information compiled by Marilyn Kozak (1987). The ... 8.The following table contains DNA-sequence information compiled by Marilyn Kozak (1987). The ...
Video: Phases of mitosis

For a complete list of videos, visit our video library