In economics, what does CPI stand for? A) Continuous Price ...

[madam-professor]

In economics, what does CPI stand for?
 
  A) Continuous Price Inflation.
  B) Central Price Information.
  C) Consumer Price Index.
  D) Collateral Price Inflation.

Question 2

Suppose that Canada can produce 15 timber or 3 film and Mexico can produce 9 timber or 3 film. Suppose that opportunity costs are constant. Which of the following is FALSE?
 
  A) Canada has an absolute advantage in timber production.
  B) Mexico has a comparative advantage in film production.
  C) The opportunity costs for producing timber are lower in Canada than in Mexico.
  D) Canada and Mexico would find trade mutually advantageous at a ratio of one unit of film to six units of timber.

[TINA]

Answer to Question 1

C

Answer to Question 2

D