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

Author Question: Currently the NAFTA nations do not meet the conditions for an optimal currency area. What are the ... (Read 106 times)

NClaborn

  • Hero Member
  • *****
  • Posts: 560
on: Jun 30, 2018
Currently the NAFTA nations do not meet the conditions for an optimal currency area. What are the two main reasons why?
 
  What will be an ideal response?

Question 2

Suppose Mexico can produce 5 autos or 10 corn. Suppose the United States can produce 4 autos or 20 corn. If opportunity costs are constant for both countries, then
 
  A) the United States has a comparative advantage in corn production.
  B) Mexico has a comparative advantage in corn production.
  C) the United States cannot gain from trade with Mexico.
  D) the United States has a comparative advantage in auto production.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

ndhahbi

  • Sr. Member
  • ****
  • Posts: 390
Reply #1 on: Jun 30, 2018
Answer to Question 1

Historically Mexico's business cycle has not been correlated with the cycles in the United States and Canada; labor mobility is limited.

Answer to Question 2

A


NClaborn

  • Member
  • Posts: 560
Reply 2 on: Jun 30, 2018
Excellent

chereeb

  • Member
  • Posts: 326
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

There are more bacteria in your mouth than there are people in the world.

Did you know?

All adults should have their cholesterol levels checked once every 5 years. During 2009–2010, 69.4% of Americans age 20 and older reported having their cholesterol checked within the last five years.

Did you know?

Congestive heart failure is a serious disorder that carries a reduced life expectancy. Heart failure is usually a chronic illness, and it may worsen with infection or other physical stressors.

Did you know?

Blood in the urine can be a sign of a kidney stone, glomerulonephritis, or other kidney problems.

Did you know?

Cytomegalovirus affects nearly the same amount of newborns every year as Down syndrome.

Plant adaptations for salty conditions. Plant adaptations for salty conditions.
Colostomy sites (blue area is where colon was removed). Colostomy sites (blue area is where colon was removed).
The poverty of the Least Industrialized Nations carries over to their educational system. These ... The poverty of the Least Industrialized Nations carries over to their educational system. These ...
Common Pathological Conditions of the Integumentary System Common Pathological Conditions of the Integumentary System
How to choose the right payment plan with changing conditions (Question 3) How to choose the right payment plan with changing conditions (Question 3)
How to choose the right payment plan with changing conditions (Question 4) How to choose the right payment plan with changing conditions (Question 4)
Video: Hemodynamics Animation

For a complete list of videos, visit our video library