A. Trade would depend on difference in demand conditions
B. Trade would depend on economies of large-scale production
C. Trade would depend on the use of different currencies
D. There would be no basis for gainful trade
Related Mcqs:
- Group of Singapore, Hong, Kong, Taiwan, and south Korea is called?
A. Four Dragons
B. Little Tigers
C. Four Tigers
D. All of these - How is termed the group which consists of Singapore, Hong kong, Taiwan, and south Korea ?
A. Four Dragons
B. Little Tigers
C. Four Tigers
D. All of these - If a country has a liner (downward sloping) production possibilities frontier, then production is said to be subjected to ?
A. constant opportunity costs
B. decreasing opportunity costs
C. first increasing and then decreasing opportunity costs
D. increasing opportunity costs - Hong Kong and South Korea are examples of developing nations that have recently pursued ________ industrialization policies?
A. import substitution
B. export promotion
C. commercial dumping
D. multilateral contract - Singapore and Hong Kong have become major economic powers by taking advantage of their ?
A. abundant mineral resources
B. imported cheap labor from Japan
C. Profits from agricultural surpluses
D. favorable location on international trade routes - Points on the production possibilities frontier are ?
A. inefficient
B. normative
C. unattainable
D. efficient - Which of the following will not shift a country’s production possibilities frontier outward ?
A. an advance in technology
B. an increase in the labor force
C. an increase in the capital stock
D. a reduction in unemployment - If a country has a bowed out (concave to the origin) production possibility frontier then production is said to be subject to ?
A. constant opportunity costs
B. decreasing opportunity costs
C. first increasing and then decreasing opportunity costs
D. increasing opportunity costs - Pricing to cover variable costs and some fixed costs as in the case of some automobile distributorships that sell below total costs is typical of which of the following pricing objectives ?
A. current profit maximization
B. product quality leadership
C. Market share leadership
D. Survival - By adjusting the model of comparative advantage to include transportation costs along with production costs we would expect ?
A. The prices of trade goods to be lower than when there are no transportation costs
B. specialization to stop when the production costs of the trading partners equalize
C. The volume of trade to be less than when there are no transportation costs
D. The gains from trade to be greater than when there are no transportation costs
