Answer to Question #190264 in Macroeconomics for James

Question

QUESTION 15

When one country has an absolute advantage in all goods:

1. Then trade cannot occur.
2. Then trade is not advantageous.
3. Then only one country can benefit from trade.
4. Then both countries can still benefit from trade.
5. Then both countries would be harmed by trade.

QUESTION 16

The theory of comparative advantage suggests that:

1. Trade is a zero-sum situation.
2. One country can only benefit at the expense of another.
3. Everyone will benefit if they figure out their areas of comparative advantage.
4. Everyone will benefit if they focus on their areas of absolute advantage.
5. All of the above.

QUESTION 17

Trade has accompanied economic growth:

1. In the U.S., but not in the rest of the world.
2. In the U.S., and the rest of the world.
3. In the rest of the world, but not in the U.S.
4. Neither in the U.S. nor in the rest of the world.
5. All of the above.

QUESTION 18

Samsung is Apple Computer’s:

1. Largest supplier.
2. Greatest competitor.
3. Largest customer.
4. All of the above.
5. Answers A and B only.

Answer 1

15.)Then both countries can still benefit from trade.

16.)Everyone will benefit if they figure out their areas of comparative advantage.

17.)In the U.S., and the rest of the world.

18.)Greatest competitor.