In an Open Economy

question 63

Multiple Choice

In an open economy:

• A) the exchange rate is determined by the government.
• B) specialization in activities with a comparative advantage is not possible.
• C) trade is beneficial only to the larger economy.
• D) there is trade in goods, services, and/or assets with other countries.

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Definitions:

Orbicularis Oris

A circular muscle around the mouth that controls the movements of the mouth and lips.

Buccinator

A muscle of the cheek that aids in chewing and is involved in the compression of the cheeks against the teeth.

Masseter

A facial muscle that plays a major role in mastication (chewing), connecting the lower jaw to the cheekbone.

Gluteus Minimus

The smallest of the three gluteal muscles, located beneath the gluteus medius, it works to abduct and medially rotate the thigh.