Other things equal, when Europeans want to buy more grains from the United States:
a. U.S. imports will increase.
b. European exports will increase at every level of domestic income.
c. U.S. exports will increase at every level of domestic income.
d. the U.S. balance of payments will show a deficit.
e. U.S. consumption spending will fall.
Question 2
Scarcity
a. Can be eradicated with sufficient economic growth.
b. Could be eradicated if we could just eliminate greed.
c. Can never be eradicated
d. Both a. and b. are true
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