Macro chapter 33 and 26

Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. If the terms of trade are established as 1 apple for 2 oranges, then:

The idea behind comparative advantage reflects the possibility that one party:

The slope of the production possibility frontier is determined by the ________________ of expanding production of one good, measured by how much of the other good would be lost.

Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. Which of the following terms of trade between apples and oranges would allow both Alpha and Beta to gain by specialization and exchange?

Say that Alland can produce 32 units of food per person per year or 16 units of clothing per person per year, but Georgeland can produce 36 units of food per year or 18 units of clothing. Which of the following is true?

What matters most in determining the efficient distribution of production over the world is:

Suppose that Canada can produce 100,000 hockey sticks or 10,000 gallons of maple syrup in a typical workweek, while Germany can produce 90,000 hockey sticks or 10,000 gallons of maple syrup in a typical workweek. From these numbers, we can conclude:

The idea behind comparative advantage reflects the possibility that one party

In India one person can produce 330 pounds of rice or 110 shirts in one year. In China one person can produce 400 pounds of rice or 200 shirts in one year. Which of the following statements is true?

Intra-industry trade between similar trading partners allows the gains from ______________________ that arise when firms and workers specialize in the production of a certain product.

The theory of comparative advantage shows that the gains from international trade do not just result from the absolute advantage of producing at lower cost, but also from pursuing comparative advantage and producing at a lower ________________.

Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. If the terms of trade are established as 1 apple for 4 oranges, then:

Colombia produces coffee with less labor and land than any other country; it therefore necessarily has:

When one nation can produce a product at lower cost relative to another nation, it is said to have a(n) __________________ in producing that product.

If the USA could produce 1 ton of potatoes or 0.5 tons of wheat per worker per year, while Ireland could produce 3 tons of potatoes or 2 tons of wheat per worker per year, there can be mutual gains from trade if

When nations increase production in their area of _________________ and trade with each other, both sides can benefit.

Some nations that seek to produce all of their own needs face the problem that:

Alternate Outputs from One Day's Labor Input: USA: 12 bushels of wheat or 3 yards of textiles.India: 3 bushels of wheat or 12 yards of textiles. The opportunity cost of one bushel of wheat in India is:

The concept of _________________ means that as the measure of output goes up, average costs of production decline-at least up to a point.

Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. Which of the following statements is true?

Alternate Outputs from One Day's Labor Input:USA: 12 bushels of wheat or 3 yards of textiles.India: 3 bushels of wheat or 12 yards of textiles. From the data, the USA:

The opportunity cost of producing a pair of pants in the USA is 5 bushels of wheat, while in China, it is 2 bushels of wheat. As a result:

Suppose that the USA can make 15,000,000 cars or 20,000,000 bottles of wine with one year's worth of labor. France can make 10,000,000 cars or 18,000,000 bottles of wine with one year's worth of labor. From these numbers, we can conclude:

Say that Alland can produce 32 units of food per person per year or 16 units of clothing per person per year, but Georgeland can produce 24 units of food per year or 12 units of clothing. Which of the following is true?

According to international trade theory, a country should:

Assume that one day's labor in Argentina can produce either 20 units of cloth or 2 units of wine, while in Chile one day's labor can produce either 24 units of cloth or 12 units of wine. If Argentina transfers 2 units of labor from wine to cloth and Chile transfers 1 unit of labor from cloth to wine, the increase in combined output by those two workers will be:

Which of the following is true?

Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. The opportunity cost of producing 1 orange for Alpha and Beta, respectively, are:

Jethro has a(n) __________________ in all aspects of camping: he is faster at carrying a backpack, gathering firewood, paddling a canoe, setting up tents, making a meal, and washing up.

If the USA could produce 1 ton of potatoes or 0.5 tons of wheat per worker per year, while Ireland could produce 3 tons of potatoes or 2 tons of wheat per worker per year, there can be mutual gains from trade if:

The underlying reason why trade benefits both sides of a trading arrangement is rooted in the concept of __________________.

A typical Keynesian aggregate supply (AS) curve _______________ and a typical Keynesian Phillips curve _____________.

The ___________________ argument tends to view inflation as a cost that offers no offsetting gains in terms of lower unemployment?

If aggregate supply is vertical, then aggregate demand does not affect:

From a neoclassical viewpoint, government should focus less on

A typical neoclassical aggregate supply (AS) curve ______________ and a typical neoclassical Phillips curve __________________.

The Keynesian view of economics assumes that:

The neoclassical view holds that long-term expansion of potential GDP due to _______________________ will determine ____________________.

A vertical AS curve means that the level of aggregate supply (or potential GDP) will determine the real GDP of the economy, regardless of the level of:

In order to shift the vertical supply curve to the left, which of the following would have to occur?

The theory of _____________________ holds that people will use all information available to them to form the most accurate possible expectations about the future.

In the neoclassical view, the economy has a ___________________________ to move back to potential GDP.

If the neoclassical argument that the economy always moves back to potential GDP is accepted, then which of the following will be more important?

Which of the following government policies would be supported by neoclassical macroeconomic assumptions?

In the neoclassical view, changes in ____________________ can only have a short-run impact on output and on unemployment.

From a neoclassical view, which of the following is less important?

Why do neoclassical economists tend to put relatively more emphasis on long-term growth than on fighting recession?

In the neoclassical model, the AS curve shifts to the right over time as_______________________ and potential GDP expands.

From a neoclassical view, which of the following is a true statement?

If a neoclassical model shows increasing wages in the economy over the long run, what else will likely occur?

From a neoclassical perspective, which of the following would most likely be viewed as an element that underpins long-run productivity growth in the economy?

Which of the following is a valid criticism of the rational expectations theory?

Which of the following represents a Keynesian point of view of macroeconomics?

When a shift in ________________ occurs, rational expectations hold that its impact on output and employment will only be temporary.