Author Question: With no international trade, the U.S. price of wheat is lower than the world price of wheat. This ... (Read 109 times)

gbarreiro · **on:** Jun 29, 2018

With no international trade, the U.S. price of wheat is lower than the world price of wheat.

This indicates that the United States ________ a comparative advantage in the production of wheat and with international trade, the United States will ________ wheat. A) has; export
B) has; not trade
C) has; import
D) does not have; export
E) might have; export

Question 2

Refer to the scenario above. Suppose you decide to buy a Toyota Corolla. You value the car for 10,000. You don't know it, but the car dealer values it for 8,500.

If you have a zero value for poor-quality cars, what is the most that would you be willing to pay for the car? A) 3,000.50
B) 6,666.67
C) 10,000
D) 5,000