The United States Can Use All of Its Resources to Produce

question 67

Essay

The United States can use all of its resources to produce 50 computers or 4,000 shoes. Suppose that at world market prices, one computer exchanges for 100 shoes. Explain how the United States can gain from trade.

---

Definitions:

Bootstrapping

The process of building or starting a business with no outside investment, funding, or support.

Personal Credit Card

A card issued to individuals that allows them to borrow funds, usually at point of sale, with the promise to repay.

Construction Shop

A specialized retail or wholesale business that supplies materials, equipment, and tools for construction projects.

Crowdsourcing

The process of using the Internet to attract, aggregate, and manage ostensibly inexpensive or even free labor from enthusiastic customers and like-minded people.