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If US Workers Can Produce Everything in Less Time Than

question 83

True/False

If US workers can produce everything in less time than Mexican workers, it is not possible for the US to gain from trade with Mexico.


Definitions:

Drive Reduction

A theory in psychology that motivation arises from biological needs driving behavior to return to a state of homeostasis or balance.

Optimal Arousal

A theory suggesting there is a level of arousal that is ideal for performance, balancing between too low and too high.

Incentive

Something that motivates or encourages an individual to perform an action or behave in a certain way.

Pleasure Principle

A concept in psychoanalytic theory referring to the drive towards immediate satisfaction of instinctual urges and desires.

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