Author Question: As a result of firms leaving an industry, we would expect that: a. economic profits are positive. ... (Read 65 times)

Bob-Dole · **on:** Jun 30, 2018

As a result of firms leaving an industry, we would expect that:
a. economic profits are positive.
b. as a result, economic losses are falling.
c. as a result, economic losses are rising.
d. both (a) and (b) are true.

Question 2

A country has a comparative advantage when the opportunity cost of producing a good in terms of:
a. the monetary value of other forgone goods is lower than that of other nations.
b. the monetary value of other forgone goods is greater than that of other nations.
c. forgone output of other goods is higher than that of other nations.
d. forgone output of other goods is lower than that of other nations.
e. forgone output of other goods is equal to that of other nations.