The fundamental force driving international trade is comparative ...

[meagbuch]

The fundamental force driving international trade is comparative _______.
 
  A. advantage: a country exports those goods that have high prices
  B. abundance: the country that produces more than it needs exports the good
  C. advantage: the country with the lower opportunity cost of production exports the good
  D. cost: a country trades with other countries that produce cheaper goods

Question 2

If the Fed decided to reverse its policy actions implemented during the heart of the recession, the Fed would be acting to try to prevent
 
  A) an increase in deflation. B) a decrease in unemployment.
  C) an increase in inflation. D) an increase in unemployment.

[aruss1303]

Answer to Question 1

C Trade according to comparative advantage maximizes the gains from trade.

Answer to Question 2

C

[meagbuch]

Correct answers!

[aruss1303]

Great! Please up vote