Question

All of the following can help a nacion reduce lts balance of payments defich EXCEPT a. increasing exports b increasing foreign aid c. rehacing its dependence on foreign goods d. devaluing its currency -芺9. Which ofthe following actions by the US would not put imported goods a competitive disadvantage compared with similar, domestically-produced goods? a. Increasing the value of the US. dollar b. Import quotas c、 Protectivc tariffs d. Revenue tarifs 10. A surplus will ococur when a. production quantities are falling h. price is above the equilibrium point c. price is below the equilibrium point d. the demand curve is shifting to the right 11. long-distance phone calls at work because it will end up Tanisha wouldn' cosring her employer money. Which stage of ethical development Is Tantsha in? b Conventional t make personal Pre-conventional Post-conventional Concentration stage 12. In the production possibility model, points above the curve are b. c inefficiencies in production not feasible d. valid in microcconomics 13. In his book Wealth of Nations, the Scottish economist Adam Smith was the first person to describe a. socialism d. entrepreneurship a. gold mining capitalism 14 In colonialdos, our country's aconomy was primarily based on 6 agriculture c manufacturing d. textile 15. Given the choice to produce wo products, product A and product R,the decision to increase the output of product A while decreasing the output of product B is a cost. It is ofthe increase in production of product A. the a. multiplier effect b. negative value added cost C. opportunity cost d. cost of capital

Answer 1

8) B). Increasing foreign aid would increase the BOP deficit because it is an expenditure.

9) A). If dollar is increased in its value, it would be difficult to buy domestically manufactured goods and imported goods would become cheaper.

10) B). When prevailing price is greater than the one at the equilibrium level, quantity demanded is less than quantity supplied so there is a surplus

11) B)

12) C). It is not feasible because it lies outside the production possibilities of the nation

13) C)

14) B)

15) C)