Scenario 20.2 Suppose Labor Productivity Differences Are the Only Determinants of Comparative

question 25

Multiple Choice

Scenario 20.2
Suppose labor productivity differences are the only determinants of comparative advantage, and both Egypt and Ghana produce only corn and cocoa. In Egypt, 10 bushels of corn or 15 pounds of cocoa can be produced in a day. In Ghana, one day of labor can be used to produce either 2 bushels of corn or 8 pounds of cocoa.
-What is known as the Dutch disease?

• A)The problem that arises when a government cannot meet its foreign debts
• B)The phenomenon of a boom in one industry causing declines in the rest of the economy
• C)A sudden and unexpected devaluation of a currency as a consequence of policy controls
• D)The problem that arises when high imports force an economy to borrow from external sources
• E)A deficit in the balance of payments of the economy that arises due to a sudden appreciation of the domestic currency

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Definitions:

Employee Contentment

Employee Contentment refers to the level of satisfaction and well-being that employees feel about their job, work environment, and relationship with their employer.

Passive Measure

A Passive Measure is a method of assessing or collecting information without actively engaging with the subject, often relying on observation or analysis of existing data.

Activity-based Measure

An approach to measuring work and performance focusing on specific activities and their efficiency.

Training Completion

The process of successfully finishing a specified training program or course of study.