Global Economy

Front

Because they have an abundance of oil, Saudi Arabia has a _______ in oil production.

Back

Absolute advantage

Front

Going to college and giving up the opportunity to earn money at a job right now is an example of which economic principle?

Back

Opportunity Cost

Front

The diagram shows the production possibilities curve for Country Y. Which of the following statements is true? If Country Y is producing at point C, it is using all its resources efficiently, The opportunity cost of producing more machines is constant, Country Y cannot produce at point E, The most efficient point of production is point D

Back

If Country Y is producing at point C, it is using all its resources efficiently

Front

The simplified production possibilities curves for country A and B are shown. Which one of the following statements is correct? Options: Country A has the comparative advantage in both goods, Country A has the comparative advantage in chairs & Country B has the comparative advantage in shirts, Country B has the absolute advantage in shirts only, Country A has the comparative advantage in shirts & Country B has the comparative advantage in chairs

Back

Country A has the comparative advantage in chairs & Country B has the comparative advantage in shirts

Front

Based on the table provided, which one of the following statements is correct? Options: Japan has the absolute advantage in producing cars, Japan has the comparative advantage in producing cars, The United States has the absolute advantage in producing both cars and computers, The opportunity cost of producing a car in Japan is 1/2 a computer

Back

The opportunity cost of producing a car in Japan is 1/2 a computer

Front

Who has the ABSOLUTE advantage in making earrings?

Back

Marie

Front

Who has the comparative advantage in cars?

Back

U.S.

Front

The U.S. can produce 10 ipads or 20 phones. China can produce 20 ipads or 30 phones. Who should produce what?

Back

U.S. phones, China- ipads

Front

Comparative advantages show:

Back

who should produce what item at the lowest cost

Front

To focus on producing one thing to improve productivity is known as:

Back

Specialization