When a Nation First Begins to Trade with Other Countries

question 10

Multiple Choice

When a nation first begins to trade with other countries and the nation becomes an exporter of corn,

• A)this is an indication that the world price of corn exceeds the nation's domestic price of corn in the absence of trade.
• B)this is an indication that the nation has a comparative advantage in producing corn.
• C)the nation's consumers of corn become worse off and the nation's producers of corn become better off.
• D)All of the above are correct.

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Definitions:

Monitoring

The act of observing and checking the progress or quality of (something) over a period of time.

Type A Personality

A personality characterized by high levels of competitiveness, self-imposed stress, impatience, and aggression.

Behaviorists

Psychologists who focus on observable behaviors and the ways in which they're learned.

Personality

The mix of feelings, attitudes, and behaviors that make up a person's response habits.