Question 1

In 2015, the trading partner from whom the U.S. received the greatest volume of imports was

Accepted Answer

A) Mexico. 
B) OPEC. 
C) China. 
D) Africa. 
A) Mexico. 
B) OPEC. 
C) China. 
D) Africa.

Question 2

Protectionism is generally a cost effective method of saving jobs.

Accepted Answer

A) True 
 B)False

Question 3

If it takes one country one unit of labor to produce either a computer or a TV but it takes the other country three units of labor to produce a computer and four to produce a TV, then the first country has

Accepted Answer

A) a comparative advantage in both goods. 
B) an absolute advantage in TVs but a comparative advantage in computers. 
C) an absolute advantage in TVs and computers but a comparative advantage in computers only. 
D) an absolute advantage in TVs and computers but a comparative advantage in TVs only. 
A) a comparative advantage in both goods. 
B) an absolute advantage in TVs but a comparative advantage in computers. 
C) an absolute advantage in TVs and computers but a comparative advantage in computers only. 
D) an absolute advantage in TVs and computers but a comparative advantage in TVs only.

Question 4

Of the arguments for limiting trade which one is the most appealing to economists

Accepted Answer

A) helping an industry that is in trouble. 
B) protecting the jobs of citizens. 
C) protecting the profits of companies. 
D) preventing other countries from getting a comparative advantage by their use of child labor. 
A) helping an industry that is in trouble. 
B) protecting the jobs of citizens. 
C) protecting the profits of companies. 
D) preventing other countries from getting a comparative advantage by their use of child labor.

Question 5

-In Table 17.3 the United States has

Accepted Answer

A) an absolute and comparative advantage in cars. 
B) an absolute and comparative advantage in lumber. 
C) an absolute and comparative advantage in both goods. 
D) an absolute advantage but not a comparative advantage in lumber. 
A) an absolute and comparative advantage in cars. 
B) an absolute and comparative advantage in lumber. 
C) an absolute and comparative advantage in both goods. 
D) an absolute advantage but not a comparative advantage in lumber.

Question 6

In 2015, imports made up ____ percent of the U.S. economy.

Accepted Answer

A) 1 
B) 5 
C) 14 
D) 17 
A) 1 
B) 5 
C) 14 
D) 17

Question 7

Exports of U.S. rice to Japan tend to

Accepted Answer

A) harm U.S. consumers and help Japanese rice producers. 
B) help U.S. consumers and harm U.S. rice producers. 
C) help U.S. consumers and harm Japanese rice producers. 
D) help Japanese consumers and harm Japanese rice producers. 
A) harm U.S. consumers and help Japanese rice producers. 
B) help U.S. consumers and harm U.S. rice producers. 
C) help U.S. consumers and harm Japanese rice producers. 
D) help Japanese consumers and harm Japanese rice producers.

Question 8

A quota that limits U.S. imports of cane sugar

Accepted Answer

A) harms U.S. sugar consumers. 
B) helps U.S. cane sugar producers. 
C) helps U.S. corn syrup (sweetener)producers. 
D) all of the options are correct. 
A) harms U.S. sugar consumers. 
B) helps U.S. cane sugar producers. 
C) helps U.S. corn syrup (sweetener)producers. 
D) all of the options are correct.

Question 9

If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 5 units of software and 5 units of hardware then

Accepted Answer

A) the United States has a comparative and absolute advantage in both goods. 
B) China has a comparative and absolute advantage in both goods. 
C) the United States has an absolute advantage in both goods. 
D) the United States has a comparative advantage in both goods. 
A) the United States has a comparative and absolute advantage in both goods. 
B) China has a comparative and absolute advantage in both goods. 
C) the United States has an absolute advantage in both goods. 
D) the United States has a comparative advantage in both goods.

Question 10

If a textile worker earns $38,000 per year working in the textile mill on a job that was saved by a protective tariff costing consumers $148,000 per year (for that job alone), the textile worker could be paid $48,000 to stay at home all day watching TV when the protective tariff is eliminated, and consumers would still be better off by approximately

Accepted Answer

A) $18,000 per year. 
B) $48,000 per year. 
C) $100,000 per year. 
D) $168,000 per year. 
A) $18,000 per year. 
B) $48,000 per year. 
C) $100,000 per year. 
D) $168,000 per year.

Question 11

Determining the comparative advantage of a country requires that you look at the economic notion of

Accepted Answer

A) opportunity cost. 
B) ceteris paribus. 
C) accounting and economic profit. 
D) external costs. 
A) opportunity cost. 
B) ceteris paribus. 
C) accounting and economic profit. 
D) external costs.

Question 12

In 2015, the trading partner with which the U.S. had the largest trade deficit was

Accepted Answer

A) Africa. 
B) Europe. 
C) OPEC. 
D) China. 
A) Africa. 
B) Europe. 
C) OPEC. 
D) China.

Question 13

Imports into the United States (as a percentage of GDP)have

Accepted Answer

A) remained constant for the last 50 years. 
B) increased over the last 50 years. 
C) decreased over the last 50 years. 
D) increased from 1960 to 1980 but has been steady since. 
A) remained constant for the last 50 years. 
B) increased over the last 50 years. 
C) decreased over the last 50 years. 
D) increased from 1960 to 1980 but has been steady since.

Question 14

One of the reasons economists approve of limiting trade would be

Accepted Answer

A) the protection of the environment. 
B) the preservation of a high employment company. 
C) the preservation of a high wage company. 
D) the preservation of a large production company. 
A) the protection of the environment. 
B) the preservation of a high employment company. 
C) the preservation of a high wage company. 
D) the preservation of a large production company.

Question 15

Determining the absolute advantage of a country requires that you look at

Accepted Answer

A) opportunity cost. 
B) the output per worker in each country. 
C) accounting and economic profit. 
D) external costs. 
A) opportunity cost. 
B) the output per worker in each country. 
C) accounting and economic profit. 
D) external costs.

Question 16

A quota that limits U.S. imports of cane sugar

Accepted Answer

A) harms U.S. consumers more than it helps U.S. producers. 
B) helps U.S. producers more than it hurts U.S. consumers. 
C) harms foreign producers more than it helps U.S. producers. 
D) helps both U.S. consumers and U.S. producers at the expense of foreign producers. 
A) harms U.S. consumers more than it helps U.S. producers. 
B) helps U.S. producers more than it hurts U.S. consumers. 
C) harms foreign producers more than it helps U.S. producers. 
D) helps both U.S. consumers and U.S. producers at the expense of foreign producers.

Question 17

-In Table 17.3,

Accepted Answer

A) the United States has an absolute advantage in both goods but a comparative advantage in cars only. 
B) Brazil has an absolute advantage in both goods but a comparative advantage in lumber only. 
C) the United States has an absolute and comparative advantage in Cars while Brazil has an absolute and comparative advantage in lumber. 
D) the United States has an absolute and comparative advantage in both goods. 
A) the United States has an absolute advantage in both goods but a comparative advantage in cars only. 
B) Brazil has an absolute advantage in both goods but a comparative advantage in lumber only. 
C) the United States has an absolute and comparative advantage in Cars while Brazil has an absolute and comparative advantage in lumber. 
D) the United States has an absolute and comparative advantage in both goods.

Question 18

-In Table 17.1,

Accepted Answer

A) the United States has an absolute advantage in both goods but a comparative advantage in apples only. 
B) Brazil has an absolute advantage in both goods but a comparative advantage in coffee only. 
C) the United States has an absolute and comparative advantage in apples while Brazil has an absolute and comparative advantage in coffee. 
D) the United States has an absolute and comparative advantage in both goods. 
A) the United States has an absolute advantage in both goods but a comparative advantage in apples only. 
B) Brazil has an absolute advantage in both goods but a comparative advantage in coffee only. 
C) the United States has an absolute and comparative advantage in apples while Brazil has an absolute and comparative advantage in coffee. 
D) the United States has an absolute and comparative advantage in both goods.

Question 19

Per job saved, consumers lose

Accepted Answer

A) slightly less than those jobs pay. 
B) about the same as those jobs pay. 
C) significantly more than those jobs pay. 
D) significantly less than those jobs pay 
A) slightly less than those jobs pay. 
B) about the same as those jobs pay. 
C) significantly more than those jobs pay. 
D) significantly less than those jobs pay

Question 20

If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 6 units of software and 4 units of hardware then trade can make

Accepted Answer

A) the U.S. better off but not China. 
B) China better off but not the U.S. 
C) neither better off. 
D) both better off. 
A) the U.S. better off but not China. 
B) China better off but not the U.S. 
C) neither better off. 
D) both better off.

Exam 17: International Trade: Does It Jeopardize American Jobs

In 2015, the trading partner from whom the U.S. received the greatest volume of imports was

Protectionism is generally a cost effective method of saving jobs.

If it takes one country one unit of labor to produce either a computer or a TV but it takes the other country three units of labor to produce a computer and four to produce a TV, then the first country has

Of the arguments for limiting trade which one is the most appealing to economists

-In Table 17.3 the United States has

In 2015, imports made up ____ percent of the U.S. economy.

Exports of U.S. rice to Japan tend to

A quota that limits U.S. imports of cane sugar

If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 5 units of software and 5 units of hardware then

Determining the comparative advantage of a country requires that you look at the economic notion of

In 2015, the trading partner with which the U.S. had the largest trade deficit was

Imports into the United States (as a percentage of GDP)have

One of the reasons economists approve of limiting trade would be

Determining the absolute advantage of a country requires that you look at

A quota that limits U.S. imports of cane sugar

-In Table 17.3,

-In Table 17.1,

Per job saved, consumers lose

If with one unit of labor the U.S. can produce 20 units of computer software and 10 units of computer hardware and China can produce 6 units of software and 4 units of hardware then trade can make

Economics: the Study of Opportunity Cost

Supply and Demand

The Concept of Elasticity and Consumer and Producer Surplus

Firm Production, Cost, and Revenue

Perfect Competition, Monopoly, and Economic Versus Normal Profit

Every Macroeconomic Word You Ever Heard: Gross Domestic Product, Inflation, Unemployment, Recession, Depression

Interest Rates and Present Value

Aggregate Demand and Aggregate Supply

Fiscal Policy

Monetary Policy

Federal Spending

Federal Deficits, Surpluses, and the National Debt

The Housing Bubble

The Recession of 2007-2009: Causes and Policy Responses

Is Economic Stagnation the New Normal

Is the Fiscalsky Falling: An Examination of Unfunded Social Security, Medicare, and State and Local Pension Liabilities

International Finance and Exchange Rates

The European Debt Crisis

Economic Growth and Development

Nafta, Gatt, Wto: Are Trade Agreements Good for Us

The Line Between Legal and Illegal Goods

Natural Resources, the Environment, and Climate Change

Health Care

Government-Provided Health Insurance: Medicaid, Medicare, and the Child Health Insurance Program

The Economics of Prescription Drugs

So You Want to Be a Lawyer: Economics and the Law

The Economics of Crime

Antitrust

The Economics of Race and Discrimination

Income and Wealth Inequality

Farm Policy

Minimum Wage

Ticket Brokers and Ticket Scalping

Rent Control

Economics of K-12 Education

Economics of College and University Education

Poverty and Welfare

Head Start

Social Security

Personal Income Taxes

Energy Prices

If We Build It, Will They Come and Other Sports Questions

The Stock Market Crashes

Unions

Walmart: Always Low Prices and Low Wages- Always

The Economic Impact of Casino Gambling

The Economics of Terrorism

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