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

Author Question: A country that does NOT engage in trade can benefit from trade only if A) pre-trade and ... (Read 169 times)

rachel9

  • Sr. Member
  • ****
  • Posts: 495
on: Jun 30, 2018
A country that does NOT engage in trade can benefit from trade only if
 
  A) pre-trade and free-trade relative prices are not identical.
  B) it employs a unique technology.
  C) it has an absolute advantage in at least one good.
  D) its wage rate is below the world average.
  E) pre-trade and free-trade relative prices are identical.

Question 2

Under the gold standard, if the dollar price of gold is pegged at 35 per ounce and the dollar/euro exchange rate is set at 2.40 per euro, what must the euro price of gold be pegged at?
 
  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

momo1250

  • Sr. Member
  • ****
  • Posts: 338
Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

The euro price of gold is constant and equal to
(35 per ounce) / (2.40 per euro) = 14.58 euro per ounce.


rachel9

  • Member
  • Posts: 495
Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it

Liamb2179

  • Member
  • Posts: 365
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

Walt Disney helped combat malaria by making an animated film in 1943 called The Winged Scourge. This short film starred the seven dwarfs and taught children that mosquitos transmit malaria, which is a very bad disease. It advocated the killing of mosquitos to stop the disease.

Did you know?

Patients who have undergone chemotherapy for the treatment of cancer often complain of a lack of mental focus; memory loss; and a general diminution in abilities such as multitasking, attention span, and general mental agility.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Did you know?

Amphetamine poisoning can cause intravascular coagulation, circulatory collapse, rhabdomyolysis, ischemic colitis, acute psychosis, hyperthermia, respiratory distress syndrome, and pericarditis.

Vice President Richard M. Nixon and Soviet leader Nikita Khrushchev engage in a “kitchen debate” ... Vice President Richard M. Nixon and Soviet leader Nikita Khrushchev engage in a “kitchen debate” ...
Country of Birth of Authorized U.S. Immigrants Country of Birth of Authorized U.S. Immigrants
Multigroove adjustable pliers are known by many names, including the trade name Channel Locks®. Multigroove adjustable pliers are known by many names, including the trade name Channel Locks®.
A close relationship between greenhouse gas emissions and a country’s gross domestic product A close relationship between greenhouse gas emissions and a country’s gross domestic product
Cost of Copying for the Follower Country Cost of Copying for the Follower Country
Effect of an Increase in R&D in the Follower Country on the Steady State Effect of an Increase in R&D in the Follower Country on the Steady State
Video: Structure of a Ribosome

For a complete list of videos, visit our video library