Figure 34-5 ​

question 32

Multiple Choice

Figure 34-5
​
-From the graph in Figure 34-5 (curves show output per unit of labor input) , one can infer that

• A)in terms of TVs, computers are more expensive in China than Japan.
• B)in terms of computers, TVs are more expensive in China than Japan.
• C)China should produce more TVs and fewer computers.
• D)All of the above are correct.

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Definitions:

Tax

A mandatory contribution to state revenue, levied by the government on workers' income and business profits, or added to the cost of some goods, services, and transactions.

Imports

Materials or services procured from another country and introduced into a domestic market for sale purposes.

Economic Integration

The process by which different countries reduce trade barriers and coordinate their economic policies to facilitate more efficient trade and investment.

Free-Trade Zone

A specially designated area where goods can be imported, stored, handled, manufactured, or reconfigured without being subject to customs duty.