Author Question: Given the information in the table above, if the Home economy suffered a meltdown, and the Unit ... (Read 59 times)

xclash · **on:** Jun 30, 2018

Given the information in the table above, if the Home economy suffered a meltdown, and the Unit Labor Requirements doubled to 20 for cloth and 40 for widgets then home should

A) export cloth.
B) export widgets.
C) export both and import nothing.
D) export and import nothing.
E) export widgets and import cloth.

Question 2

When a country both exports and imports a type of commodity, the country is engaged in

A) intra-industry trade.
B) increasing returns to scale.
C) imperfect competition.
D) inter-industry trade.
E) an attempt to monopolize the relevant industry.