Assume a Two-Commodity,two-Country World

question 178

Multiple Choice

Assume a two-commodity,two-country world.Then assume that the U.S.has a comparative advantage in the production of computers and Mexico has a comparative advantage in the production of oil.Which of the following statements is true?

• A)U.S.consumption of oil will decrease after the introduction of trade.
• B)U.S.consumption of oil will increase after the introduction of trade.
• C)Mexico's consumption of oil will decrease after the introduction of trade.
• D)All of the statements are true.

Recognize the importance of ethical considerations including intellectual property rights and plagiarism in research.

Identify various research tools and their appropriate applications.

Grasp the concept of primary and secondary research methodologies.

Know the effectiveness and structure of various communication documents in business.

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Definitions:

Low Premium

Pertains to the relatively small amount paid for insurance coverage or other financial products, compared to higher-coverage options.

High Deductible

A health insurance plan feature requiring the policyholder to pay a significant amount of money before the insurance coverage begins.

High Premium

A term used in insurance to describe the higher cost paid by the insured for a policy with greater coverage or higher risk protection.

No Deductible

A policy condition in insurance where the policyholder is not required to pay any amount before the insurance company starts covering the insured loss.